New financial architecture to shape gloabl Eco: Panelists

Team Herald 

PANJIM: The paradigms that govern the world of today are obsolete and it is necessary to stop seeing the future through the glasses of the past. This rather obvious piece of plain speak by Sam Pitroda was one of many such instances on the first day of various sessions during Difficult Dialogues.   

In the first session of the day that focused on global finance, the moderator of the session Nasser Munjee felt trust in the authorities, in civil society, in bankers and the financial system had all but evaporated. 

Professor Nicholas Stern spoke on the need for increased investment in infrastructure, emphasizing how the decisions made in the next twenty years will be some of the most important decisions in human history. Both panelists Professor Erik Berglof and James Crabtree spoke on the global financial structure and the role South Asia and other developing and emerging markets play in this arena.  

Professor Berglof highlighted the need for a new architecture in the financial system as well as the need for more initiative in financial research in emerging markets to facilitate this change in architecture.   Crabtree directed his thoughts more towards the level of global integration in markets such as India and the potential benefits and costs to the state in the face of increasing openness.

The issue of governance in international finance was an issue all panelists discussed, covering topics related to the IMF, World Bank as well as more recent institutions such as the New Development Bank (aka BRICS bank). It was felt that the old ways of Europe and America who felt a sense of ownership of the top positions of the World Bank and the IMF had to go. The rather quick acceptance of the UK to the new bank was interesting and the decision by the US to accept this development after some hesitation was a sign of things to come. 

Later Sam Pitroda speaking to journalists said Digital India initiative was good and he hoped something good would come out of it.  Speaking about the effort to connect the country he said when the previous government passed the RTI it boosted the cause. 

The government he said had to have at least 50,000 data sites on line and instead had only 4000 sites. The problem he said was the reluctance of government departments to upload information. The police he said were not prepared to upload cases registered and this attitude was prevalent all over. 

With regards to the various advertisements being released to highlight Digital India he said he was not interested in highlighting what he was doing rather it was about getting the work done. 

Asked about the Herald case, he emphasized that no one had many any money and the people were too principled to do something like that.