原文标题：Indian public sector inefficient, impotent: Chinese govt mouthpiece
BEIJING: India is plagued by its "inefficient and impotent public sector", said a state-run Chinese daily, which added that successful Indian software and banking industries "contribute little to the employment and income growth of the overall economy".
An article "Inefficient public sector lets down India's entrepreneurial spirit" in the op-ed section of Global Times said that as the two most prominent emerging countries in the fast-growing Asian region, China and India have often been compared.
It said that despite their commonalities, the two are diverging in development paths and have fostered different comparative advantages for economic growth.
"We also need to bear in mind that there is actually a great gap in terms of GDP per capita between the two countries, with $5,414 for China and $1,389 for India, according to the IMF statistics in 2011," said the article by Xue Lei, a research fellow in the Department of International Organization and International Law of Shanghai Institutes for International Studies.
It said that in recent years, although the Indian economy has been staying in a high growth track, "its achievement was attained with higher costs compared to China".
"India's debt to GDP ratio is now over 70 per cent, accompanied by over 7 per cent inflation. China has performed better in many macroeconomic indicators, with even higher growth rates," said the daily.
It added that China may have stepped into a period of a relatively stable macroeconomic environment combined with rapid growth and moderate inflation rates as well as a healthy fiscal structure, while "India may still be in a stage characterized by fluctuation amid growth".
The daily went on to say that over 50 per cent of Indians are still working in the agricultural sector, "which means it needs further efforts to transform itself into a modern industrialized or post-modern service-led economy. Therefore, we can say that in economic terms India still lags far behind China".
China and India have to face the challenge of economic transformation.
The article said that "India does not need to worry so much about the development of the private sector and entrepreneurial spirit, which are the key to innovative activities".
"Some researchers have pointed out that Indian entrepreneurial and managerial capital has been more successful than China's, especially in taking control of and managing assets in the sophisticated markets of Europe and the US.
"However, India is plagued by its inefficient and impotent public sector."
The article pointed out that one of the crucial bottlenecks for Indian economic development, "the backwardness of its infrastructure, can be traced back to the ineffectiveness of public institutions".
"Investment in infrastructure needs long-term visions and a strong guarantee of continuous flow of income. Hence without the initiating role of the public sector, there will be little incentive for the private sector to participate.
"The restraints caused by the deficiencies in infrastructure investment also become a great impediment to the development of the Indian manufacturing industry, which could lead to greater job creation if given full scope," it said.
It added: "And the successful Indian software and banking industries have often been referred to as economic enclaves which contribute little to the employment and income growth of the overall economy."
We don't need Chinese to tell us we stink. We know our stink very well. We are not communist government to distribute wealth
Dinesh Prabhakar (delhi)
Truth coming out even from the mouth of an enemy for our benefit must be appreciated
anand (US) replies to Sudhakar
Well I would not call them enemy. They are hard competitors, so they appear enemy'ish.
You do not need China to say "However, India is plagued by its inefficient and impotent public sector." Read hundreds of the report of CAG of more than four decades. Now that China has said it , it will hurt national pride.
MSCN (Chennai) replies to Dinesh Prabhakar
You are right. Truth is a bitter pill.
Dr K K (Canada)
As unpleasant as it is to hear, especially from the Chinese, its all true.
Dinesh Prabhakar (delhi)
"It added: "And the successful Indian software and banking industries have often been referred to as economic enclaves which contribute little to the employment and income growth of the overall economy." An apt observation we need to improve in both the sectors and should not take this as an offensive remark, rather improvement in both the sectors will be to our own advantage!
The Chinks, for a change, are correct in their opinion about Indian Public Sector (see Air India as an example). The entire Government sector is inefficient, corrupt and badly mismanaged.
Dear childrean of Chou en lie and Mao please don't teach us. Indian public sector has created the base when country needed them. It was the life line for services and infrastructure. Nehru termed them Temples of India. You use bonded labour to create cheap goods. You copy designs to create fakes. Everybody come to China because of its cheap labour. Chinese blood is cheaper than a plastic doll.
Come on Guys.. Its the Truth. Accept It. China is 100 times way ahead of India.. accept it.
Rightly put. I hate Chinese. But cannot disagree with this.
CHANDRA SEKARA MURTHI R (CHENNAI)
"India's achievement was attained with higher costs compared to China"=it is correct because of the corruption factor involved in the cost. If that element is removed, nevertheless our cost will also be competitive....
Mr. Xue Lei has correctly analysed the Indian Economy. India is efficient in doing scams and corruption. Congress should be removed ASAP.
LOL....Can some one from our Government's mouth piece dare to reply this Chinki dude?
Dinesh Prabhakar (delhi)
Looks China has deeply studied observations and reports of CAG recently, truth hurts and that too if it comes from the mouth of an enemy country!
vicky cheema (Chandigarh)
Bitter but true. Hope this scene changes for better soon.
Great discovery, time to attack india? Under congi regime country is always weak and defensive.
China is more corrupt than India and with no human rights its a ruthless country... Recently I read an article that state machinery killed a man for protesting against land poaching by govt...the guy was crushed to dead with bulldozers,,, unthinkable in India
They want to convey that India is the Most corrupt. That is the reality. Corruption is at all levels.
Dev Kumar (gurgaon)
" THERE IS ABSOLUTELY NO DOUBT....LIKE IT OR LUMP IT.......PUBLIC SECTOR IS IN DOLDRUM"
I've heard from my friend in China: When they build roads, they build them with next 10 years in mind. 4-6 lanes with ample footpaths and service roads. When we build roads, we plan 2 tar lanes, scam budget for 1 lane, delay the last lane for months, build the lanes at a leisure pace with lowest quality and then block the new road for months so some minister can inaugurate the road.
CHINA slap INDIA on the eve of 1962 War's Anniversary. This time CHINA win AGAIN!!!!
Yup , certainly , Shame on Indian Government... they are being humiliated every where.
Chatter (Azad Hind)
OK ..Agreed .. Very Right Observation.. Thanks a lot.. Now Get the hell out of Aksai Chin..
scamnivas (Madras) replies to Chatter
Even a blade of grass does not grow there.
Another " Hate -India" campaign by a cockroach eater.First & Foremost , India is a democracy & a much more transperant country than China. Our Poverty, Corruption , our inefficient public sector , unsatisfactory health & education infrastructure are all in the open . Hence, always amendable. Whereas in China every thing are under wrap , starting from huge income disparity , infinite corruption, millions of landless people evicted from their land by force etc etc. China awaits another revolution , from their have nots , & this China will not be able to control by force.
Yeah…….Really it’s happening in India. But it became insult for us, when other country say in this manner.
Some people cannot stomach the truth. I do not like copycat china. They have no innovation. However, is there any untruth in their statement. We need to know where we stand. Forget about China, the elite media and elite English speaking Indians compare with USA a $50,000 per capita nation. It feels ridiculous to compare Bhopal or Bangalore with Boston. Our income and living standards are more in line with our neighbours and we have to see how to improve the lot.
China may not be friendly to India, but the present statement is 100% true that the Indian Public Sector is impotent , inefficient and contribute little to the employment and overall growth of the economy.
Anil Ruparelia (world)
So the Chinese are patrified about Indian Software and banking sector. There are many other ares where we are ahead of Chinese.We have more gold then the rest of the world. Chinese speak nagatively about India only when they see an economical threat to them.
Dev Kumar (gurgaon)
" CHINKS MIGHT HAVE 'SMALL EYES' BUT THERE OBSERVATION IS PENETRATING".....UNFORTUNATELY THEY ARE BANG RIGHT"
With slave labour, like how china treats its workers, any country can have good economy.
Yes .....let first get democracy in China and talk about potency
Shiva (Chennai) replies to simplesolutions75
What democracy in India? It is Italian Dynasty.
Mr. Dependable (chicago) replies to Shiva
if u wre in china u wont have enough darings to say these words on open forum......this is difference
Indian Government's response ". This is Chinese conspiracy to destabilize India"
Very very very True. This is the first time China is telling the truth.
at last somebody did call out "the emperor has no clothes"...
ramesh chandra gupta (noida)
Very true analysis but this is cost of being democratic. We value human life whereas China is communist and have no respect for human life and who ever comes against the target, is wiped out.
We Indians might not be as rich as the Chinese or have the same level of infrastructure. But one thing is certain, people in India are far more happier than in China. Anyway, I do agree that our public sector is very inefficient.
WISH OUR LEADERS READ THIS ARTICLE AND DO SOMETHING.
China is beating us in everything- sports, standard of living, cleanliness and order (I have been there), Nobel prizes, respect for women, hardly any rapes and no dowry deaths, malnutrition, technology, etc...... To think of it, China was much worse off than India after WWII. Japanese had almost flattened the land.
Ream Gandhi (NDLS)
And credit goes to Nehru/Gandhi (fake Gandhi) led government. But I believe people of India are still loyal to them. Only god can save this nation.
Buddhadeva Das (aaa)
India has more temples, more religions, more castes, more *ollywoods and more cricket. What does China have, just a wall and call it great?
Chinese media picked up a very weak point of India. Now they should have the gut to tell how Indians enjoy better personal freedom than the Chinese.