Foreign Investment


                                     India has opened its market in 90 for foreign investments under liberalization policy. Liberalization has become more and more acceptable Policy after the fall of Russia.
                                        However it should depends upon the country and its economical  situation. That is how much market is to be opened for foreign investments. China is the unique example of  its liberalization policy. China's exports are on high side and world markets are flooded with chines goods. China has created free economic zones through which it tries to implement its own liberalization policy. They have refused to devalue its currency as that is not in their favor. They have even denied facilities to American companies wherein their interest is compromised. Chines are always reminding  America the economic fall of Russia  after political changes.  They are strictly following the economic policy of liberalization according to their own pattern. This is to be noted.
                                       In this century  no  country can think of colonizing the other country. However they can exploit the market of the country and remit the wealth through  trade. That is what is happening now.  the developed countries are exploiting the markets of upcoming countries. It is indirect way of taking the advantage of  market of underdeveloped countries. Therefore the total liberalization of trade can be between equals instead of stronger and weaker countries.
                                       Besides that liberalization of trade is good until its serve development purpose of the under developed countries. Hence each country has to follow the policy of liberalization which suits them. Otherwise it can become the dumping market of developed countries.
                                       India has opened its market up to limited extent and not made rupee convertible. However the experiences of some of the foreign companies are not good in india and  they were compelled to close their business accordingly. Even Big Mall projects are  not doing well as there millions of small traders who are doing business in Rural, Semi Urban, and Urban Areas. They are the sources of their self employments.
                                         Even some the foreign companies who are doing good business in India have not given much benefits to the Indian economy. The survey under taken of the 28 foreign  companies shows that  against their shares capital of 1954 crores of Rupees they are remitting in foreign currency Rupees 15638 crores.  It shows that it gives much advantage to foreign countries than Indian economy.The agreement between 'Mody Group of Industries' and German multinational Lufthansa has to be given up due to hidden conditions where Mody's where not comfortable. Therefore  India should proceed with liberalization with logic and reasoning instead of following it blindly.
                                                  ***********************************