Presentation by

H.E. Mr. Ashok Sajjanhar Ambassador of India to Sweden & Latvia

at

Lund University

Edens hörsal, Paradisgatan 5, Lund

06 Oct 2011

INDIA - Opportunities & Prospects

POPULATION – 1.2 Billion(Second largest in the world & 17.3% of the

World population)

AREA - 3,287,263 sq kms (7,516 kilometers - Coastline )(Seventh largest in the world and 2/3 of

Europe)

CIVILISATION dates back to 3000 BC(One of the World’s oldest civilisations)

India – Some Basic Facts

India – Unity in Diversity

India – An ancient civilisation but a young nation!

28 major languages & 1650 dialects.

Secular state: Home to major religions of the world:

Hindus, Muslims, Christians, Buddhist, Sikhs, Jains, Jews Zoroastrians,...

The Indian revolution

Social and Political Revolutions

Rule of law based on Justice,Freedom, Equality and FraternityGreater representation to Women in ParliamentDemocracy through Panchayat Raj, State Assemblies and Parliament

Economic revolution

Land ReformsRight to Education ActLiberalisationRight to Information ActFood Security LegislationMahatma Gandhi National Rural Employment Guarantee Act

OVERVIEW OF THE ECONOMY

Source: RBI, Ministry of Finance(Govt of India), Trading Economics.com

Annual GDP Growth adjusted by Inflation

India´s GDP Growth rate

Source: IBEF, RBI, Ministry of Finance(Govt of India)

*As on September 16, 2011 it is US $317 billion

2002–03 2003–04 2004–05 2005–06 2006–07 2007–08 2008--09 2009--10 2010--110

50

100

150

200

250

300

350

75

112

141152

199

310

252277

*317

India´s Forex ReservesU

S$ B

illio

n

Cumulative amount of FDI equity inflows from April 2000 to May 2011 stood at US$ 205.96 billion

FDI Equity Inflow

2003-04 2004-05 2005-06 2006-07 2007-08 2008-09 2009-10 2010-110

5

10

15

20

25

30

35

40

4.36.1

9

23

34.3 35.237.2

19.42

Source: IBEF, RBI, DIPP

US$

Bill

ion

FDI equity inflows for June 2011 stood at US$ 5.69 billion (11 year high)

India - Net FII (FII interest in India on the rise)

Source: IBEF, RBI, DIPP

2004–05 2005–06 2006–07 2007–08 2008- 09 2009- 10 2010- 11

-20

-10

0

10

20

30

40

912

7

27

-15

29

39

US$

Bill

ion

Crossed US$ 100 billion in October 2010

India - Exports

Source: Department of Commerce, Govt of India

2005–06 2006–07 2007–08 2008–09 2009--10 2010--110

50

100

150

200

250

103

126

163

183 178

246

India’s exports to touch US $ 500 billion by 2015

Exports registered 82% rise in July 2011

US$

Bill

ion

India's imports in July 2011 were US $ 40.4 billion registering a growth of 51.5%

India - Imports

2005-06 2006-07 2007-08 2008-09 2009-10 2010-110

50

100

150

200

250

300

350

400

150

185

252

291 287

350

Source: Department of Commerce , Govt of India

US$

Bill

ion

Growth enablers Demographics

-India is among the world‘s youngest nations with a median age of 25 years as compared to 43 in Japan and 36 in the US.

-India has third largest pool of scientific and technical manpower in the world

- Large English Speaking Population

-In 2025, more than 55 per cent of the population of India would be of working age.

- With a large working population, India can continue to be competitive globally.

Projected Median Age in 2025

Source: World Population Prospects, 2010, UN

Between 20-59 years50.7%

0-19 years 41.8%

Demographic Dividend

Human Capital

India-Sweden Relations Evidence shows that Swedish ships were in India in mid 18th century Ship ”Götha Leijon” was in Surat Sept 1750 – Feb 1751

In 1903 India’s first telephone exchange was bought from Swedish company Ericsson. Ericsson incorporated 1903 – today over 100 years in India

Together with Ericsson, the first wave of traditional Swedish companies came to India. Example: Swedish Match, Asea (today ABB)

In 1960’s and 1970’s the second wave of classic Swedish industrial companies entered India, mainly in Pune. Examples: Alfa Laval, SKF, Tetra Pak, Sandvik, Atlas Copco

In 1980’s and 1990’s a third wave of companies entered India. Examples: IKEA trading (HongKong Ltd), Oriflame, Volvo

Today we are experiencing the fourth wave of Swedish companies entering India Examples: Volvo Cars, Scania, Systemair, Roxtec

India offers the best opportunity amongst the emerging Economic markets:

Fast economic growth – massive investment in Infrastructure and power sector.

Large domestic consumption base – consumer base to touch 800 mn by 2020.

Stable policy, strong judicial system and mature regulatory framework.

Healthy corporate presence and strong corporate performance.

To play key role in emerging global economic order – particularly post financial crisis era.

In Summary

Thank you !