Recession Proof India

The word 'Recession' has affected everybody in this world. September 2008 brought the menace of credit crunch in America and with that the downfall of big American symbol of financial power such Lehman Brothers. One of the oldest institution of American Capitalism. India as other countries did suffer due to American economy's downturn. But, It was relatively safe due to certain factors that worked in its favour. Indians don't use plastic money extensively as other develop countries. Seventy percent of Indian population lives in Rural India. And in my opinion Rural India is the reason behind the India story. Indian Equity Market has bounced back smartly, Companies have performed above market expectations,present GDP growth and expected GDP growth both are among the best in the world. All this because of two words RURAL INDIA. Analyst as well as Companies have underestimated the spending and saving power of Rural India. Every aspect of Indian Economy is dependent on Rural India. Every sector will perform well if it sees that maximum effort is given to satisfy and services the Rural India. Companies have to understand that Urban India is a small place considering the vastness of Rural India. It is easy to sell in Urban India but the returns are secure and long term in case of Rural India. RURAL INDIA the growth engine of India.