JP Morgan's Chief India Economist Warns: Foreign Money Is Running Out Of India | Kushal Lodha #367

This is the first technology where the more skilled you are, the more at risk you are.

The plumbers and the electricians will not be replaced

by

Claude.

But if you're doing, you know, skilled work, those jobs will go away.

Our today's guest is Dr. Sajid Chinoy, Managing Director and Chief India Economist at JPMorgan.

In this episode, we break down the three biggest economic challenges India faces in the next decade and how they will directly impact you.

China is this massive machine of production.

Think of a river that's flowing.

That's Chinese production.

It's going towards the U.S. and the U.S. then puts a tariff dam.

So when you put a dam and the dam blocks the water, what does the river do? It floods all the adjoining areas.

Who are the adjoining areas here? It's emerging markets.

It's Asia.

It's India.

So it should be no surprise that net FDI in India has slowed when US financial conditions tighten.

The challenge therefore is how does India get pull FDI, not just push FDI.

And there was an example of this in the past between 2005 and 2010-11.

India gets a lot of FDI, which cannot be explained by US interest rates.

That's the pull FDI because at that time what was happening, India had a corporate capex cycle.

What's happening with the currency crisis and why is the rupee depreciating so much and what do you think is going to happen to the Indian rupee? So...

India is currently the fastest growing large economy in the world.