Interview of Prime Minister Dr. Manmohan Singh

with Corriere della Sera, 9th February, 2007

(New Delhi; February 9, 2007)

 

          

As an affirmed economic power, an emerging Nation and a new multi-polar protagonist, which is changing the world, India is turning to Italy and is exploring its enormous potential. “Romano Prodi is an old friend and will receive a warm welcome”, assured Prime Minister Manmohan Singh during his interview with il Corriere della Sera. Yet Prodi, the four Ministers, the President of Confindustria and the over 500 entrepreneurs who, starting today, will begin the long Indian mission, will not find only smiles and courtesy: all the economies of the world are knocking on India’s door and competition depends on proposals and concrete possibilities.

Q. Mr. Prime Minister, in which sectors do you believe there will be a significant increase in the India-Italy economic relations?

“Our relations are already good and are increasing. In Italy the Indian enterprises are investing in IT, automobiles, pharmaceuticals, and textiles, while in India the Italian companies are investing in machinery, infrastructures and chemicals, just to mention a few. We can and will do more, we want to increase the complementarity between Italy’s design and technology and India’s manufacturing abilities. At the same time we aim to further develop, also thanks to an agreement in 2009, our already excellent relations with the entire EU”.

Q. Sometimes Italian entrepreneurs complain that the Indian market is not easily accessible…

“The world is taking notice of us and it is easy to understand why. Our reforms are continuing, we have grown 8% in the last two years and we want to reach 10% in the next four. But we do not want to get ahead of ourselves. The regulations concerning the access to our market respect the international standards and it is in our best interest to attract as many investors as possible. We have our problems, such as the infrastructures and the production of electricity. We will therefore invest in these sectors about $500 bln in the next decade”.

Q. Are you worried about too much demand, inflation, the increase in wages and the lack of qualified workers?

“Each growth process creates some forms of macroeconomic imbalance, but I am not worried because our strategy is cautious enough. You mentioned a lack of qualified workers, but this is only the case in specific sectors and we are dealing with the situation”.

Q. Those who criticise the Indian miracle say that the social inequality has increased, that more resources should be used for the fight against alienation and poverty…

“They are both right and wrong. Since 1980 poverty has decreased, it was 50% and now we are at about 20-25% of the population. This involves hundreds of millions of people. Naturally, this is still unacceptable and we will use our new resources in the fight against poverty. Social inequality is something different, but has the same needs: education, professional training and involvement in development. It is a challenge and we will face it even though we could have done more in the past”.

Q. India has a leading role in the international scene. The nuclear cooperation agreement with the US is seen by some as a way to contain China’s influence: what do you think?

“I have heard that too, but I think this is incorrect. President Hu was just here; we have excellent relations with China and India cannot be used to contain this or that. The civilian nuclear cooperation agreement with the US will allow us to deal with the energy requirements in an environmentally friendly way and confirms the excellent relations between India and the US. We have common values starting from democracy and we also have common worries”.

Q. For example Iran, where the international community opposes the access to nuclear energy?

“Iran is a great nation which has its sensibilities and deserves to be treated with respect. We do not encourage in any way nuclear armaments in Iran, also considering that it has signed the non-proliferation treaty. We believe that Iran’s energy problems must be taken into consideration and that the Iranian nuclear issue must be solved peacefully between Teheran and IAEA. We have told the US this as well”.

Q. Mr. Prime Minister, India sends approximately half of its international funds to Afghanistan. Am I mistaken or is this a sign of wariness?

“Naturally you are not mistaken. Many Nations are putting military and civilian effort into Afghanistan and we must all continue to do so. We must insist because there is much at stake. India is present for the rebuilding and humanitarian aid. We believe that we must give the Afghani people more roads, energy, schools and hospitals. But it is obvious that if the local population will not see improvements also security will deteriorate”.

Q. Do you believe Pakistan could do more to stabilise Afghanistan?

“The Taliban use Pakistan to organise themselves, certainly Pakistan could do more. Our relations with Pakistan are based on a constructive dialogue and I am attempting to solve the bilateral issues which are still to be dealt with”.

Q. Do you believe that the project, which the US does not approve of, to build a gas pipeline from Iran to Pakistan to India is a good idea?

“We are in dire need of energy and we are keen on carrying out this project. The negotiations are proceeding”.

Q. What does the situation in Iraq suggest?

“That democracy is not instantaneous and that it cannot be created at the push of a button or pulling a trigger”.

Q. Many believe that the war in Iraq is accelerating the return of multi-polarism, do you agree?

“I agree, the world today is multi-polar. Above all, economically speaking, because the ascent of India and China is an irreversible fact and not only concerning the economy”.

Q. Yet a solution is still to be found for the regional crises. It is enough to think about the Middle East…

“I am extremely worried about the Middle East. And it is obvious that there are no military solutions, nothing can take the place of dialogue. Violence, all violence, represents a danger which should be eradicated above all in the Middle East”.

Q. Mr. Prime Minister, India and Italy do not have the same opinion concerning the UN Security Council. Will this cast a dark cloud on your friend Prodi’s visit?

“India has expressed its will to become a permanent member of the Council and those who believe in our credentials are increasing. Italy has its own ideas concerning the Council reform, but we can work together to find a solution. A cloud? No, even if it were to rain there will be no problems between Prodi and I”.

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