EU-India dialogue stresses on Indian and global economy

New Delhi, July 13 (UNI) The first EU-India Macroeconomic dialogue, which took place here today, discussed ways and means to strengthen their respective economies and reviewed the global scenario.

The Indian side, which included officials from the Ministry of Finance and the Reserve Bank of India, was led by the Finance Secretary Duvvuri Subbarao.

The EU side was led by Mr Klaus Regling, Director General for Economic and Financial Affairs at the European Commission, Brussels. The European Central Bank (ECB) was represented by ECB Board Member, Mr Bini-Smaghi.

The dialogue reviewed fiscal, monetary and exchange rate developments and outlined the structural policies that can raise the growth potential of the respective economies.

The Indian government indicated that their priority was to accelerate growth while making it inclusive, with the primary goal of reaching the poor effectively.

The two sides also discussed global imbalances and other international economic issues, regional economic integration in Europe and Asia, and financial market-related issues.

An in-depth discussion took place on the challenges the two economies were facing, some of which were common, such as raising productivity growth and promoting reform and fiscal consolidation.

The EU side welcomed India in ASEM ( Asia Europe Meeting). Both Mr Subbarao and Mr Regling stressed that they were looking forward to a successful meeting of ASEM Finance Ministers next year in Korea.

Both the sides recognised that this first meeting of the EU-India macroeconomic dialogue was productive and helped enhance mutual understanding. They said it served as a useful platform for dialogue and cooperation on macroeconomic issues.

The two sides agreed to hold the second EU-India Macroeconomic Dialogue next year in Brussels but till then continue to have informal exchanges of views and information at the international meetings.

UNI