Economist's take on

India's situation amid all the financial meltdown. Considering whats happening in the US its not bad!

Excerpt

All of this might mean that once the dust settles, India is likely to re-emerge as an attractive investment destination. At least in the short term, growth in India's flagship IT-services sector is likely to slow because of the financial-sector crisis. But the rupee's depreciation will help to shore up the profitability of IT and other exporters. More importantly, Indian IT companies, as well those in other industries, are stepping up acquisitions. Strong growth in the past few years has given Indian companies the financial muscle for large acquisitions, just as the global slowdown is putting good international companies on the market. For example, in October 2008 HCL Technologies (India's fifth-largest IT-services firm) outbid Infosys Technologies (India's second-largest IT company) for UK-based Axon. This will be the Indian IT sector's largest outbound merger. At home, meanwhile, India's biggest IT company, Tata Consulting Services (TCS), announced that it would become India's second-largest business-process outsourcing (BPO) company by buying US-based Citigroup's captive Indian BPO, Citigroup Global Services, for US$505m. TCS also agreed a multi-year, US$2.5bn contract to provide Citi with outsourcing services.