Obama enlists help of Indian diaspora in US to bolster stronger economic ties

http://www.theguardian.com/us-news/2015/jan/26/obama-india-economic-ties-indian-american-community

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The three million-strong Indian American diaspora in the US is being enlisted to help kickstart relatively lacklustre economic ties between the two countries.

Despite all the political warmth surrounding Barack Obama’s visit to Delhi this week, India is the source of only 2% of American imports and the destination of only 1% of its exports.

But the White House believes the thriving Indian community in the US could be the key to unlocking greater economic integration and has announced a new fund to channel investment to parts of India’s economy most in need of development.

Related: Obama jets off to Delhi as US and India enter new era of goodwill

“I am proud to announce a new public private partnership to help millions of proud Indian Americans directly invest in India’s future,” Obama told business leaders in Delhi.

“Our new Indian diaspora investment initiative will allow folks back home to generate a new stream of financing for Indian businesses that are investing in non-traditional and too often over-looking markets,” he added. “Whether it is providing healthcare to rural communities or improving water and sanitation, this is going to be another spark to India’s economic engine.”

Speaking at a gathering of corporate leaders attended by the heads of US companies including MasterCard, Honeywell, Disney, Pepsi, Westinghouse and Marriott, both Obama and Indian prime minister Narendra Modi argued that the race to grown India’s economy should be focused on reducing inequality.

“Growth can’t just be measured by the aggregate, it can’t just be measured by GDP, the bottom line on a balance sheet; growth has to make people’s lives better in real tangible ways,” Obama said.

Modi, who boasted of celebrating Republic Day as the “first prime minister born in free India”, conceded that unequal economic growth meant the “hope we instilled into our constitution still eludes many”.

The two leaders also showed signs of fatigue after a whirlwind 24 hours in Delhi that has barely seen them leave each other’s sight since Modi greeted Obama with a bear hug on the airport tarmac on Sunday. They endured two hours in the rain watching India’s Republic Day parade, partly without umbrellas.

“After all those jours on the reviewing stand together, the prime minister might be tired of me by now, but what’s another speech between friends?” joked a tired-looking Obama at the outset of his address to business leaders.