Jan. 6 – They say whatever doesn’t break you makes you. Going by the thought, India’s economy is expected to emerge from the financial crisis as the fourth strongest economy among G-20 countries. Given its robust forex reserves, high GDP growth rate and various fiscal and monetary measures taken to tackle the downturn, India’s economic growth is expected to follow China, Russia and South Korea according to an Assocham study.

The study which takes into account seven economic indicators relating to size of the economy, spending power, tax structure, interest rate policy, budget balances, debt burden and foreign exchange reserves, expects more developed economies to grow at a much slower pace compared to India and her Asian counterparts.

India, along with China, Russia and South Korea would emerge stronger out of the current crisis as they enjoy strong economic foundations based on foreign exchange reserves, higher growth rates in GDP per capita and sound monetary policy measures," the chamber told the Economic Times.

India ranked last (19th) in terms of budget balance as a percentage of GDP and 12th in terms of public debt as a percentage of GDP, it said, adding that low ranking on these indicators gives the country key challenges to announce heavy fiscal stimulus package.