1. TOP 10 ECONOMIES OF THE
WORLD
1

2. FIRSTLY WE WILL CLEAR YOU THE
CONCEPT OF ECONOMIC SYSTEM
 AN ECONOMIC SYSTEM IS THE COMBINATION OF
THE VARIOUS AGENCIES OR EVEN SECTORS.
THEY PROVIDE THE ECONOMIC STRUCTURE
THAT GUIDES THE SOCIAL COMMUNITY .
2

3. FOUR TYPES OF ECONOMIES
 TRADITIONAL ECONOMIES
 COMMAND ECONOMIES
 CAPITALISTIC ECONOMIES
 MIXED ECONOMIES
3

4. TRADITIONAL ECONOMIES
• TRADITIONAL ECONOMIES ARE FOUND IN
RURAL , NON DEVELOPED COUNTRIES
• SOME PART OF ASIA , AFRICA , SOUTH AMERICA
AND THE MIDDLE EAST HAVE TRADITIONAL
ECONOMIES
• CUSTOMS GOVERN THE ECONOMIC DECISIONS
THAT ARE MADE
• TECNOLOGIES NOT USED IN TRADITIONAL
ECONOMIES
4

5. CONT…
 FARMING , HUNTING ARE DONE IN THE SAME
WAY AS THE GENERATION BEFORE
 ECONOMIC ACTIVITIES ARE USUALLY CENTERED
TOWARDS THE FAMILY OR ETHNIC UNIT
 MEN AND WOMEN ARE GIVEN DIFFERENT
ECONOMIC ROLES AND TASKS
5

6. COMMAND ECONOMIES
 THE GOVERNMENT OR OTHER CENTRAL
AUTHORITY MAKES DECISIONS AND
DETERMINES HOW RESOURCES WILL BE USED
 CHANGE CAN OCCUR RELATIVELY EASILY
 LITTLE INDIVIDUAL FREEDOM
 NO COMPETITION
 BUSINESSES ARE NOT RUN TO CREATE A PROFIT
6

7. CONT….
 CONSUMERS HAVE FEW CHOICES
 SHORTAGES DUE TO POORLY RUN FACTORIES
AND FARMS
 GOVERNMENT DICTATES THE JOB IN WHICH YOU
WORK
 GOVERNMENT SETS THE PRICE OF GOODS AND
SERVICES
 EXAMPLES – CUBA , CHINA
7

8. CAPITALISTIC ECONOMIES
 RESOURCES ARE OWNED AND CONTROLLED BY
INDIVIDUALS
 ECONOMIC DECISIONS MADE BY INDIVIDUALS
COMPETING TO EARN PROFITS
 INDIVIDUAL FREEDOM CONSIDERED VERY
IMPORTANT
 DECISIONS MADE BY THE BASIC PRINCIPELS OF
SUPPLY AND DEMAND
 PROFIT IS MOTIVE
 COMPETITION AMONG BUSINESSES
 COMPETITION DETERMINES PRICE
8

9. MIXED ECONOMIES
 GOVERNMENT AND INDIVISUALS SHARE THE
DECESION MAKING PROCESS.
 GOVERNMENT GUIDES AND REGULATES
PRODUCTION OF GOODS AND SERVICES
OFFERED.
 INDIVISUALS OWN MEANS OF PRODUCTION.
 PROTECTS CONSUMERS AND WORKERS FROM
UNFAIR POLICIES.
 MOST EFFECTIVE ECONOMY FOR PROVIDING
GOODS AND SERVICES.
9

10. ITALY 10TH LARGEST ECONOMY OF
WORLD
10

11. STATISTICAL ANALYSIS
 GDP- $2.055 TRILLION
 GDP GROWTH-1.1%
 GDP PER CAPITA-$35435
 GDP BY SECTOR-
AGRICULTURE(1.8%),INDUSTRY(24.9%),SERVICES(73.3%
)
 INFLATION-1.4%
 LABOUR FORCE-25.05 MILLION
 LABOUR FORCE BY OCCUPATION-
SERVICES(65.1%),INDUSTRY-
(30.7%),AGRICULTURE(4.2%)
 UNEMPLOYMENT-8.4%
11

12. MAIN INDUSTRIES
 TOURISM
 COMMUNICATION
 MACHINERY
 STEEL
 CHEMICALS
 MOTOR VEHICLES
 TEXTILES
 CLOTHING
 FASHION INDUSTRY
12

13. EXTERNAL STATISTICS(EXPORTS)
 EXPORTS-$458.4 BILLION
 EXPORT GOODS-ENGINERING
PRODUCTS,TEXTILES,CLOTHING,PRODUCTION
MACHINERY,FOOD,TOBACCO,MINERALS
 MAIN EXPORT PARTNERS-
GERMANY(12.6%),FRANCE(11.57%),U.S.(5.92%),SPAI
N(5.6%),U.K.(5.13%),SWITZERLAND(4.69%)
13

14. EXTERNAL STATISTICS(IMPORT)
 IMPORTS-$459.7 BILLION
 IMPORT GOODS-ENGINEERING
PRODUCTS,CHEMICALS,TRANSPORT,EQUIPMENT,
MINERALS,TEXTILES,CLOTHING,FOOD,TOBACCO
 MAIN IMPORT PARTNERS-
GERMANY(16.68%),FRANCE(8.82%),CHINA(6.53%),
NETHERLAND(5.63%),SPAIN(4.3%),RUSSIA(4.12%),B
ELGIUM(4.08%)
14

15. PUBLIC FINANCE
 PUBLIC DEBT-118%OF GDP
 REVENUES-$960.1BILLION
 EXPENSES-$1.068TRILLION
 FOREIGN RESERVES-US$165.796BILLION
15

16. FACTS AND FIGURES OF ITALY
 IT HAS DIVERSIFIED INDUSTRIAL ECONOMY
 HIGH GDP PER CAPITA
 DEVELOPED INFRASTRUCTURE
16

17. FINANCIAL AND BANKING SYSTEM
• BANKING IN ITALY HAS AN AVERAGE
ASSETS/LIABILITIES RATIO OF 12-1
• BANK’S SHORT TERM LIABILITIES ARE EQUAL TO
86% OF GDP
17

18. ACHIEVEMENTS IN THE BASKET OF
ITALY
 LEADING COUNTRY IN WORLD TRADE AND
EXPORT
 ENJOYS VERY HIGH STANDARD OF LIVING
 8TH HIGHEST QUALITY OF LIFE
 4TH LARGEST GOLD RESERVE
 WORLDS LARGEST WINE PRODUCER
 CREATIVE AND HIGH QUALITY AUTOMOBILE
18

19. WEAKNESS OF ECONOMY
 LACK OF INFRASTRUCTURE DEVELOPMENT
 LACK OF MARKET REFORMS
 LACK OF RESEARCH INVESTMENT
 HIGH PUBLIC DEFICIT
 HIGH RATE OF CORRUPTION
19

20. FRANCE – 9TH LARGEST ECONOMY
IN THE WORLD
20

21. STATISTICAL ANALYSIS
 GDP - $2.113 TRILLION
 GDP GROWTH – 1.6%
 GDP PER CAPITA -$38016
 GDP BY SECTOR – AGRICULTURE(2.1%) ,
INDUSTRY(19%) , SERVICES (78.9%)
 INFLATION (CPI) – 1.5%
 LABOUR FORCE -28.21 MILLION
 LABOUR FORCE BY OCCUPATION – SERVICES
(71.8%) , INDUSTRY (24.3%) , AGRICULTURE (3.8%)
 UNEMPLOYMENT – 9.6%
21

22. MAIN INDUSTRIES
 MACHINERY
 CHEMICALS
 AUTOMOBILES
 AIRCRAFT
 ELECTRONICS
 TEXTILES
 FOOD PROCESSING
 TOURISM
22

23. EXTERNAL STATISTICS-EXPORTS
 EXPORTS-$508.75BILLION
 EXPORT GOODS-MACHINERY&TRANSPORTATION
EQUIPMENT,AIRCRAFT,PLASTICS,CHEMICAL,IRON
&STEEL,BEVERAGES,ELECTRONICS.
 MAIN EXPORT PARTNERS-
GERMANY(15.88%),ITALY(8.16%),SPAIN(7.8%),BELGI
UM(7.44%),U.K.(7.04%),U.S.(5.65%),NETHRRLANS
(3.99%)
23

24. EXTERNAL STATISTICS-IMPORTS
 IMPORTS-$577.7 BILLION
 IMPORT GOODS-MACHINERY&EQUIPMENTS,
VEHICLES , CRUDE OIL , AIRCRAFT , PLASTICS ,
CHEMICALS .
 MAIN IMPORT PARTNERS – GERMANY(19.41%) ,
BELGIUM (11.61%) , ITALY(7.97%) ,
NETHERLANDS(7.15%) , SPAIN(6.68%) , UK (4.9%) ,
US(4.72%) , CHINA(4.44%)
24

25. PUBLIC FINANCES
 PUBLIC DEBT – 83.5% OF GDP
 REVENUES - $1.241TRILLION
 EXPENSES - $1.441 TRILLION
 FOREIGN RESERVES – US $ 191.689 BILLION
25

26. OVERVIEW OF FRANCE ECONOMY
 FRANCE RANKS 4TH IN THE FORTUNE GLOBAL 500
 AXA – WORLDS LARGEST INSURANCE COMPANY
 AIR FRANCE – WORLDS LARGEST AIRLINE
COMPANY IN INCOMES
 2ND LARGEST RECIPIENT OF FDI
26

27. SECTORS OF ECONOMY
 INDUSTRY
 ENERGY
 AGRICULTURE
 TOURISM-THE PALACE OF VERSAILLES IS ONE OF
THE MOST POPULAR TOURIST DESTINATION IN
FRANCE
 WEAPONS INDUSTRY
27

28. U.K…8TH largest economy in the
world
28

29. STATISTICAL ANALYISIS
 GDP-$2.25 TRILLION
 GDP GROWTH-0.2%
 GDP PER CAPITA-$36,120
 GDP BY SECTOR-
AGRICULTURE(0.9%),INDUSTRY(22.1%),SERVICES(7
7.1%)
 INFLATION(CPI)-4.5%(AUG 2011)
 LABOUR FORCE-31.45 MILLION
 UNEMPLOYMENT-8.1%
29

30. MAIN INDUSTRIES
 AGRICULTURE
 FISHING
 CONSTRUCTION
 ELETRICITY,GAS AND WATER SUPPLY
 MANUFACTURING
 MINING
 SERVICES
 EDUCATION ON HEALTH
 FINANCIAL SERVICES
 HOTELS AND RESTAURANTS
 TOURISM
 TRANSPORT
 REAL ESTATE
30

31. EXTERNAL STATISTICS(EXPORTS)
 EXPORTS-£428.6 BILLION
 EXPORT GOODS-MANUFACTURED
GOODS,FUELS,CHEMICALS,BEVERAGES,TOBACCO
 MAIN EXPORT PARTNERS-UNITED
STATES(14.3%),GERMANY(10.5%),NETHERLAND(8%
),FRANCE(7.2%),IRELAND(6%),BELGIUM(5.1%),SPAI
N(3.7%),ITALY(3.3%),CHINA(3.2%)
31

32. EXTERNAL STATISTICS (IMPORTS)
 IMPORTS- £477.9BILLION
 IMPORT GOODS-MANUFACTURED
GOODS,MACHINERY,FUELS,FOOD STUFF
 MAIN IMPORT PARTNERS-
GERMANY(12.5%),CHINA(8.4%),US(7.6%),NETHERL
AND(7.3%),FRANCE(6%),NORWAY(5.7%),BELGIUM(
5%),ITALY(3.9%),IRELAND(3.4%)
32

33. PUBLIC FINANCES
 PUBLIC DEBT-76.5% OF GDP
 REVENUES- £514.6 BILLION
 EXPENSES- £669.3 BILLION
 FOREIGN RESERVES-$66.72 BILLION
33

34. UK’S GROWTH –WHERE IT COMES
FROM
 AEROSPACE INDUSTRY-2 ND LARGEST
 PHARMACEUTICAL INDUSTRY
 NORTH SEA OIL AND GAS RESERVE-ESTIMATED
VALUE £250 BILLION
34

35. ACHIEVEMENTS IN THE BASKET OF
U.K.
 ORGANISATION FOR ECONOMIC CO-OPERATION
AND DEVELOPMENT
 WORLD BANK
 WORLD TRADE ORGANISATION(WTO)
 UNITED NATIONS
35

36. FINANCIAL AND BANKING SYSTEM
 BANK OF ENGLAND-CENTRAL BANK(ISSUING
CURRENCY)
 POUND STERLING IS ALSO USED AS RESERVE
CURRENCY BY OTHER GOVT. AND INSTITUTIONS
36

37. BRAZIL…7thnd largest economy in
the world
 7TH LARGEST BY NOMINAL GDP AND 8TH
LARGEST BY PURCHASING POWER PARITY
 ECONOMIC SYSTEM OF BRAZIL-
 EXPORT MANUFACTURED AND SEMI
MANUFACTURED GOODS(60%)

38. STATISTICAL ANALYSIS OF BRAZIL
1. GDP- $2.09 trillion
2. GDP GROWTH- 7.5%(2010)
3. GDP PER CAPITA- $10471(2010)
4. GDP BY SECTOR-
INDUSTRY(26.8%),SERVICES(67.4%),AGRICULTURE(5.8%)
5. INFLATION(CPI)- 4.44%(AUG2010)
6. LABOUR FORCE- 103.6 million
7. LABOUR FORCE PARTNERS-
AGRICULTURE(20%),INDUSTRY(14%),SERVICES(66%)
8. UNEMPLOMENT- 5.7%(2010)

39. MAIN INDUSTRIES
 AEROLPANES
 STEEL, IRON ORE, COAL
 MACHINE BUILDING, ARMAMANTS, TEXTILE
and APPARALS PETROLEUM, CEMENTS,
CHEMICALS,FERTILZERS, CONSUMER PRODUCTS
INCLUDING FOOTWEAR , TOYS, AND
ELECTRONICS,FOOD
PROCESSING,TRANSPORTATION, EQUIPMENTS
INCLUDING AUTOMOBILES ,RAIL CARS AND
LOCOMOTIVE SHIPS AND AIRCRAFT, electronics

40. EXTERNAL STATISTICS(EXPORTS)
 EXPORTS-US$201.9 BILLION
 EXPORT GOODS- TRANSPORT EQUIPMENT ,
MACHINERY,STEEL, AIRPLANES,
PAPER,ELECTRIC, MACHINERY,IRON ORE,
SOYBEANS, FOOTWEAR, COFFEE, AUTOS,
AUTOMOTIVE PARTS, MACHINERY
 EXPORT PARTNERS- CHINA 15.3% , US 9.6% ,
ARGENTINA 9.2%, NETHERLAN 5.1%, GERMANY
4.0%(2010)

41. EXTERNAL STATISTICS(IMPORTS)
 IMPORTS-US$ 187.7BILLION
 IMPORT GOODS-MACHINERY, ELECTRICAL AND
TRANSPORT EQUIPMENT ,CHEMICAL PRODUCTS,
OIL, AUTOMOTIVE PARTS, ELECTRONICS
 IMPORTPARTNERS –US 15.0%,CHINA 14.1%,
ARGENTINA 7.9%, GERMANY 6.9%,JAPAN 3.8%

42. FACTS AND FIGURES OF BRAZIL’S
ECONOMY
 FASTEST GROWING MAJOR ECONOMY-GROWTH
RATES AT 5%
 PREDICTED TO BECOME ONE OF THE FIVE
LARGEST ECONOMIES OF THE WORLD
 SERVICE SECTOR IS THE LARGEST COMPONENT
OF GDP
 SECOND LARGEST BIGGEST INDUSTRIAL SECTOR
IN AMERICAS.

43. PUBLIC FINANCE
 PUBLIC DEBT- 41.4% OF GDP
 REVENUES- $464.4 BILLION
 EXPENSES- $552.6 BILLION
 FOREIGN RESERVES- $350 BILLION(sept 2011)

44. RUSSIA 6TH LARGEST ECONOMY OF
WORLD
44

45. STATISTICAL ANALYSIS
 GDP-1.456 TRILLION
 GDP GROWTH-4.9%
 GDP PER CAPITA-$10521
 GDP BY SECTOR-
AGRICULTRE(4%),INDUSTRY(36.8%),SERVICES(59.1%)
 INFLATION(CPI)-6.7%
 LABOUR FORCE-75.55 MILLION
 LABOUR FORCE BY OCCUPATION-
AGRICULTURE(10%),INDUSTRY(31.9%),SERVICES(58.1%)
 UNEMPLOYMENT-6.7%
45

46. MAIN INDUSTRIES
 MINING AND EXTRACTIVE INDUSTRY
 OIL,GAS AND CHEMICAL
 METAL
 ROAD AND RAIL TRANSPORTATION
 COMMUNICATION EQUIPMENT
 AGRICULTURE MACHINERY
 TRACTORS
 MEDICAL AND SCIENTIFIC INSTRUMENTS
 TEXTILES
 FOOD STUFF
46

47. EXTERNAL STATISTICS(EXPORT)
 EXPORTS-$376.7BILLION
 EXPORT GOODS-PETROLEUM,NATURAL
GAS,WOOD,MILITARY MANUFACTURERS
 EXPORT PARTNERS-
NETHERLAND(10.62%),ITALY(6.46%),GERMANY(6.2
4%),CHINA(5.69%),TURKEY(4.3%),UKRAINE(4.01%),
47

48. EXTERNAL STATISTICS(IMPORTS)
 IMPORTS-$237.3 BILLION
 IMPORT GOODS-
MACHINERY,VEHICLE.PHARMACEUTICAL
PRODUCTS,MEAT,FRUITS,NUTS,IRON,STEEL
 IMPORT PARTNERS-
GERMANY(14.39%),CHINA(13.98%),UKRAINE(5.48%
),ITALY(4.84%),U.S.(4.46%)
48

49. PUBLIC FINANCES
 PUBLIC DEBT-9.5%OF GDP
 REVENUES-$202.7BILLION
 EXPENSES-$301.4BILLION
 FOREIGN RESERVES-US$502.496 BILLION
49

50. ACHIEVEMENTS DUE TO ECONOMY
 ABUNDANCE OF NATURAL GAS,OIL
 ABUNDANCE OF COAL
 ABUNDANCE OF PRECIOUS METAL
 RICH IN AGRICULTURE
 NOT MUCH AFFECTED BY RECESSION
50

51. MAJOR REFORMS DUE TO
MR.VLADIMIR PUTIN
 GDP DOUBLED CLIMBING FROM 22ND TO 11TH
LARGEST
 MAKING IT 6TH LARGEST ECONOMY IN THE
WORLD
 INDUSTRY GREW BY 75%
 INVESTMENT INCREASED BY 125%
 REAL INCOME DOUBLED
51

52. RUSSIA’S ECONOMIC GROWTH
 ARM SALES INCREASED
 IT INDUSTRY GROWTH
 3RD BIGGEST DESTINATION FOR OUTSOURCING
SOFTWARE
 CIVILIAN AEROSPACE INDUSTRY HAS
DEVELOPED(SUKHOI SUPERJET)
52

53. GERMANY…5th largest economy in
the world
 SOCIAL MARKET ECONOMY
 SINCE INDUSTRIALISATION, THE COUNTRY HAS
BEEN A DRIVER , INNOVATOR.
 EXPORTS ACCOUNT FOR MORE THAN ONE THIRD
OF NATIONAL OUTPUT
 FIFTH LARGEST CONSUMER OF ENERGY
 TRANSPORTATION HUB(CENTRAL POSITION IN
EUROPE)

54. FACTS AND FIGURES OF
GERMANY’S ECONOMY
 POOR IN RAW MATERIALS
 SECOND LARGEST EXPORTER WITH $1.120
TRILLION (2009)
 OIL AND NATURAL GAS ND OTHER RESOURCES
ARE IMPORTED

55. STATISTICAL ANALYSIS OF
GERMANY
1. GDP- $3.306trillion
2. GDP GROWTH- 3.6%(2010)
3. GDP PER CAPITA- $44.729(2010)
4. GDP BY SECTOR-
INDUSTRY(27.9%),SERVICES(71.3%),AGRICULTURE(0.8%)
5. INFLATION(CPI)- 1.3%( OCT2010)
6. LABOUR FORCE- 43.51 million
7. LABOUR FORCE PARTNERS-
AGRICULTURE(2.4%),INDUSTRY(29.7%),SERVICES(67.8%)
8. UNEMPLOMENT- 6.0%( AUG2010)

56. MAIN INDUSTRIES
 IRON ,STELL, COAL
 CEMENT, CHEMICALS
 MACHINERY, VEHICLES,
 MACHINE TOOLS
 ELECTRONICS,
 FOOD AND BEVERAGES
 SHIPBUILDING,TEXTILES

57. IMPACT OF RISE IN ECONOMY
 MODERNISATION AND INTERGRATION
SCHEDULTED TO LAST TILL 2019 .
 ANNUAL TRANSFER FROM WEST TO EAST IS$180
BILLION.
 UNEMPLOYMENT RATE FCONSISTENTLY FALLEN
SINCE 2005 AND REACHED 15 YEAR LOW IN JUNE
2008

58. EXTERN AL STATISTICS(EXPORTS)
 EXPORTS- 1.46 TRILLION
 EXPORT GOODS- MACHINERY ,VEHICLES,
CHEMICALS, METALS, AND
MANUFACTURES,FOODSTUFF, TEXTILE
 EXPORT PARTNERS- CHINA 8.2 % , US 5.9% ,
FRANCE 8.2%, NETHERLAND 8.5%, ITALY 5.9%,U.K
4.9%, BELGIUM 4.3%, AUSTRAI 4.3%,
SWITZERLAND 4.2%(2009)

59. EXTERNAL STATISTICS(IMPORTS)
 IMPORTS-US$ 187.7BILLION
 IMPORT GOODS- MACHINERY , VEHICLES ,
CHEMICALS, FOODSTUFF,, TEXTILES, METALS.
 IMPORT PARTNERS –CHINA 8.2 % , US 5.9% ,
FRANCE 8.2%, NETHERLAND 8.5%, ITALY 5.9%,U.K
4.9%, BELGIUM 4.3%, AUSTRAI 4.3%,
SWITZERLAND 4.2%(2009)

60. PUBLIC FINANCE
 PUBLIC DEBT- 78.8% OF GDP
 REVENUES- $1.396TRILLION
 EXPENSES- $1.516 BILLION
 FOREIGN RESERVES- $233.813 BILLION(APRIL 2011)

61. GERMANY’S GROWTH-WHERE IT
COMES FROM
PRIMARY SECTOR
 AGRICULTURE
 FORESTRY
 MINING
INDUSTRY SECTOR
 AUTOMOBILE
 MACHINERY
TERTIARY SECTOR
 FINANCIAL
 RENTING
 BUSINESS ACTIVITIES(30.5)
 TRADE, HOTEL, RESTAUTRANTS AND TRANSPORT(18%)

62. PROBLEMS WITH THE ECONOMY
 TERITARY SECTOR NEEDS EXPANSION

63. INDIA – 4TH LARGEST ECONOMY IN
THE WORLD
63

64. STATISTICAL ANALYSIS
 GDP -$ 4.042 TRILLION
 GDP GROWTH – 9.0%
 GDP PER CAPITA -$ 3700
 GDP BY SECTOR – AGRICULTURE (19.9%)
 INFLATION (CPI) – 5.3%
 LABOUR FORCE _ 509.3 MILLION
 LABOUR FORCE BY OCCUPATION – AGRICULTURE
(60%) , INDUSTRY (12%) , SERVICES (28%)
 UNEMPLOYMENT _ 7.8%
64

65. MAIN INDUSTRIES
 TEXTILES
 CHEMICALS
 FOOD PROCESSING
 STEEL
 TRANSPORTATION EQUIPMENT
 CEMENT
 MINING
 PETROLEIUM
 MACHINERY
 SOFTWARE
65

66. EXTERNAL STATISTICS/ EXPORTS
 EXPORTS- $102 BILLION
 EXPORT GOODS – TEXTILE GOODS , GEMS AND
JEWELRY , ENGINEERING GOODS, CHEMICALS,
LEATHER MANUFACTURERS
 MAIN PARTNERS – US(18%) , CHINA (8.9%) ,
U.A.E(8.4%) , U.K.(4.7%), HONGKONG(4.2%).
66

67. EXTERNAL STATISTICS/ IMPORTS
 IMPORTS - $187.9 BILLION
 IMPORTS GOODS – CRUDE OIL , MACHINERY ,
FERTILIZERS, CHEMICALS
 MAIN PARTNERS – CHINA(7.2%) , U.S.(6.4%),
BELGIUM (5.1%) , SINGAPORE (4.7%),
AUSTRALIA(4.2%) , GERMANY(4.2%) , U.K.(4.1%)
67

68. PUBLIC FINANCE
 PUBLIC DEBT -$ 132.1 BILLION
 REVENUES -$109.4 BILLION
 EXPENSES – $ 143.8 BILLION
68

69. OVERVIEW OF INDIAN ECONOMY
 2ND FASTEST GROWING ECONOMY
 ECONOMY IS DIVERSE
 2/3RD OF INDIAN WORKFORCE EARN LIVELIHOOD
DIRECTLY OR INDIRECTLY THROUGH AGRICULTURE
 LARGE EDUCATED YOUTH IS ACTING AS AN
IMPORTANT “ BACK –OFFICE” DESTINATION FOR
GLOBAL COMPANIES
 BASICALLY FOLLOWING THE POLICY OF LPG MADE
UP IN EARLY 1990S
 THE B.S.E IS ONE OF THE LARGEST STOCK MARKETS
IN INDIA.ITS INDEX IS USED TO GAUGE THE
STRENGTH OF THE INDIAN ECONOMY
69

70. BANKING AND FINANCE
 TYPES OF BANKS
1. PUBLIC BANKS - 27
2. PRIVATE BANKS - 40
3. COOPERATIVE BANKS
4. FINANCIAL INSTITUTIONS
• TOTAL DEPOSITS ARE 1360724 CRORES
• PROFITABILITY OF BANKS IS 15%
70

71. WHY INDIAN ECONOMY IS
SUFFERING?
 CORRUPTION
 UNEMPLOYMENT
 REGIONAL IMBALANCES
71

72. FORIEN DIRECT INVESTMENT IN
INDIA
 MOST PREFFERD DESTINATION
 STRENGTH IN I.T. , CHEMICAL , APPAREL,
JEWELLRY. ETC
 ALWAYS HELD PROMISE FOR GLOBAL INVESTORS
 LARGE POOL OF SKILLED MANAGERIAL AND
TECHNICAL EXPERTIES
 F.D.I POLICY (2005) ALLOWS UPTO 100% FDI
STAKE IN VENTURES
72

73. JAPAN-3RD largest economy of the
world
73

74. STATISTICAL ANALYSIS
 GDP-$5.458 TRILLION
 GDP GROWTH-0.3%
 GDP PER CAPITA-$42,820
 GDP BY SECTOR-
AGRICULTURE(1.5%),INDUSTRY(22.3%),SERVICES(75.7%
)
 INFLATION(CPI)-0.3%
 LABOUR FORCE-65.64 MILLION
 LABOUR FORCE BY OCCUPATION-
AGRICULTURE(4%),INDUSTRY(28%),SERVICES(68%)
 UNEMPLOYEMENT-4.7%
74

75. MAIN INDUSTRIES
 TRANSPORTATION EQUIPMENT
 ELECTRONICS
 CHEMICALS
 STEEL
 MACHINE TOOLS
 PROCESSED FOODS
 NON-FERROUS METALS
75

76. EXTERNAL STATISTICS-EXPORTS
 EXPORTS-$765.2BILLION
 MAIN EXPORT PARTNERS-
CHINA(18.88%),USA(16.42%),SOUTH KOREA(8.13%),
TAIWAN(6.27%),HONGKONG(5.49%)
76

77. EXTERNAL STATISTICS-IMPORTS
 IMPORTS-$636.8 BILLION
 MAIN IMPORT PARTNERS-
CHINA(22.2%),USA(10.96%),AUSTRALIA(6.29%),SA
UDI ARABIA(5.29%),UAE(4.12%),SOUTH
KOREA(3.98%),INDONESIA(3.95%),
77

78. PUBLIC FINANCE
 PUBLIC DEBT-$10.55 TRILLION
 REVENUES-$1.638 TRILLION
 EXPENSES-$2.16 TRILLION
 FOREIGN RESERVES-US$1.154 TRILLION
78

79. CHINA…2nd largest economy in the
world
 ECONOMIC SYSTEM OF CHINA-COMMUNIST
(BEST EXAMPLE OF STATE CAPITALISM TODAY)
 CHINA’S FOREIGN TRADE GROWN FASTER THAN
ITS GDP FOR PAST 25 YEARS
79

80. FACTS AND FIGURES OF CHINA’S
ECONOMY
 FASTEST GROWING MAJOR ECONOMY-GROWTH
RATES (10% APP..)FROM PAST 30 YEARS
 LARGEST EXPORTER OF GOODS
 SECOND LARGEST IMPORTER OF GOODS
80

81. STATISTICAL ANALYSIS OF CHINA
1. GDP- $5.93 trillion
2. GDP GROWTH- 10.40%
3. GDP PER CAPITA- $4382
4. GDP BY SECTOR-
INDUSTRY(46.8%),SERVICES(43.6%),AGRICULTURE(9.
6%)
5. INFLATION(CPI)- 4.9%
6. LABOUR FORCE- 780 million
7. LABOUR FORCE PARTNERS-
AGRICULTURE(39.5%),INDUSTRY(27.2%),SERVICES(33.
2%)
8. UNEMPLOMENT- 4.2%
81

82. MAIN INDUSTRIES
 MINING AND ORE PROCESSING
 IRON,STEEL,ALUMINIUM AND OTHER METALS
 COAL,PETROLEUM
 TEXTILES AND APPAREL
 CHEMICALS,FERTILIZERS
 TRANSPORT EQUIPMENTS(AUTOMOBILES,RAIL
CAR,LOCOMOTIVES,SHIPS AND AIRCRAFT)
 TELECOMMUNICATIONS EQUIPMENT
 CONSUMER
PRODUCTS(FOOTWEAR,TOYS,ELECTRONICS)
 COMMERCIAL SPACE LAUNCH VEHICLES,SATELLITES
82

83. IMPACT OF RISE IN ECONOMY
 LEAD TO STEADY GROWTH IN
INVESTMENT,CONSUMPTION AND STANDARD OF
LIVING.
 POVERTY RATE FELL FROM 53%(1987)TO
2.5%(2010)
 INFANT MORTALITY RATE FELL BY 39.5%(1990-
2010)
 ACCESS TO TELEPHONES ROSE TO 94-FOLD TO
57.1%
83

84. EXTERNAL STATISTICS(EXPORTS)
 EXPORTS-US$1.581 TRILLION
 EXPORT GOODS-ELECTRICAL AND OTHER
MACHINERY,INCLUDING DATA PROCESSING
EQUIPMENT,APPAREL,TEXTILE,IRON AND
STEEL,OPTICAL AND MEDICAL EQUIPMENT
 MAIN EXPORT PARTNERS-US-20.03%,HONKONG-
12.03%,JAPAN-8.32%,SOUTH KOREA-
4.55%,GERMANY-4.27%
84

85. EXTERNAL STATISTICS(IMPORTS)
 IMPORTS-US$1.327 TRILLION
 IMPORT GOODS-ELECTRICAL AND OTHER
MACHINERY,OIL AND MINERAL FUELS,OPTICAL
AND MEDICAL EQUIPMENTS,METAL
ORES,PLASTICS,ORGANIC CHEMICALS
 MAIN IMPORT PARTNERS-
JAPAN(12.27%),HONGKONG(10.06%),SOUTH
KOREA
(9.04%),US(7.66%),TAIWAN(6.84%),GERMANY(5.54
%)
85

86. PUBLIC FINANCE
 PUBLIC DEBT- 17.5% OF GDP
 REVENUES- $1.149 TRILLION
 EXPENSES- $1.27 TRILLION
 FOREIGN RESERVES- $3.20 TRILLION
86

87. CHINA’S GROWTH-WHERE IT
COMES FROM
PRIVATE SECTOR
 INFRASTRUCTURE
 HEAVY INDUSTRIES
 EXPANSION IN LIGHT INDUSTRY
PUBLIC SECTOR
 UTILITIES
 HEAVY INDUSTRIES
 ENERGY RESOURCES
87

88. PROBLEMS WITH THE ECONOMY
 CORRUPTION
 ECONOMIC CRIMES
 UNEMPLOYMENT
 ENVIRONMENTAL DEGRADATION
 LACK OF YOUTH LABOUR FORCE
 INFLATION
88

89. FINANCIAL AND BANKING SYSTEM
 FINANCIAL INSTITUTIONS-STATE OWNED
 CHIEF INSTRUMENT OF FINANCIAL AND FISCAL
CONTROL-PEOPLE’S BANK OF CHINA,MINISTRY OF
FINANCE
 CHINA DEVELOPMENT BANK-FUNDS ECONOMIC
DEVELOPMENT AND DIRECT FOREIGN INVESTMENT
 AGRICULTURE BANK OF CHINA(FUNDS FOR
AGRICULTURE SECTOR)
 CHINA CONSTRUCTION BANK
 INDUSTRIAL AND COMMERCIAL BANK
89

90. US…1st largest economy in the
world
 1ST LARGEST BY NOMINAL GDP AND 5TH LARGEST BY
PURCHASING POWER PARITY
 CAPITALIST ECONOMY
 LOW LEVEL OF REGULATION AND GOVERNMENT
INVOLVEMENT.
 PRIVATE SECTOR TO MAKE THE MAJORITY OF
ECONOMIC DECISION IN DETERMINING THE SCALE
OF WHAT THE US ECONOMY PRODUCES

91. FACTS AND FIGURES OF US
ECONOMY
 GDP PER CAPITA IS HIGHER THAN MOST OTHER
DEVELOPED COUNTRIES.
 THE LABOR MARKET HAS ATTRACTED
IMMIGRANTS FROM ALL OVER THE WORLD
 NET MIGRATION RATE IS HIGHEST

92. STATISTICAL ANALYSIS OF US
1. GDP- $15.027 trillion(2011)
2. GDP GROWTH- 3.0%(2010)
3. GDP BY SECTOR-
INDUSTRY(21.9%),SERVICES(76.9%),AGRICULTUR
E(1.2%)
4. INFLATION(CPI)- 3.8%( AUG2010)
5. LABOUR FORCE- 154.5million
6. UNEMPLOMENT- 9.1 %( oct 2011)

93. MAIN INDUSTRIES
 PETROLEUM
 STEEL
 MOTOR VEHICLES
 AEROSPACE
 TELECOMMUNICATIONS
 CHEMICALS
 CREATIVE INDUSTRIES
 ELECTRONICS
 FOOD PROCESSIING

94. IMPACT OF RISE IN ECONOMY
 LEAD TO STEADY GROWTH IN
INVESTMENT,CONSUMPTION AND STANDARD OF
LIVING.
 POVERTY RATE FELL FROM 53%(1987)TO 2.5%(2005)
 INFANT MORTALITY RATE FELL BY 39.5%(1990-2005)
 ACCESS TO TELEPHONES ROSE TO 94-FOLD TO 57.1%

95. EXTERN AL STATISTICS(EXPORTS)
 EXPORTS- 1.46 TRILLION
 EXPORT GOODS- AGRICULTURE PRODUCTS,
INDUSTRIAL SUPPLIES, CAPITAL GOODS( MOTOR
VEHICLES PARTS, COMPUTERS), CONSUMER
GOOD(AUTOMOBILES,MEDICINES)
 EXPORT PARTNERS- CANADA 13.2%,MEXICO 8.3%,
CHINA 4.3%, JAPAN 3.3%

96. EXTERNAL STATISTICS(IMPORTS)
 IMPORTS-US$ 1.948 BILLION
 IMPORT GOODS- AGRICULTURAL
PRODUCTS,INDUSTRIAL SUPPLIES(CRUDE OIL),
CAPITAL GOODS(COMPUTERS
,TELECOMMUNICATIONEQUIPMENTS, MOTOR
VEHICAL PARTS,OFFICE MACHINES,ELECTRIC POWER
MACHINERY )
CONSUMER GOODS-(AUTOMOBILES , CLOTHING,
MEDICINES, FURNITURE, TOYS)
 IMPORT PARTNERS –CHINA 15.4 % , CANADA 11.6% ,
MEXICO 9.1%, JAPAN 4.9%, GERMANY 3.7%

97. PUBLIC FINANCE
 PUBLIC DEBT- 98%% OF GDP
 REVENUES- $2.162TRILLION
 EXPENSES- $3.456 BILLION
 FOREIGN RESERVES- US$140.607 BILLION( MAY
2011)

98. PROBLEMS WITH THE ECONOMY
 MASSIVELY IN DEBT
 LACK SAVINGS
 TRADE DEFICITS( CONSUMING MORE,
INCREASED FOREIGN INVESTORS )
 STAGNANT WAGES