India needs to open up financial sector: IMF chief

NEW DELHI - The Indian economy has performed very well in the last few years, especially during the global economic crisis, but it needs to further open up its financial sector and public debt to sustain growth momentum, IMF chief Dominique Strauss-Kahn said Friday.

There are several problems including the openness of the economy, especially the openness of financial sector, the public debt which is still in discussion that we have with Indian authorities, Kahn told private television channel NDTV.

He said the International Monetary Fund (IMF) keeps advising Indian authorities and its policies had worked well for the economy.

I think the Indian Economy is doing really well. Of course, with a lot of problems. You cannot manage over a billion people economy without problems but it’s doing really well, has done well during the crisis and is coming out of the crisis in rather good shape, he said.

The IMF chief said Indian economic growth would be influenced by the situation in the world economy because a large part of it was linked to the global economy.