Global Financial Turmoil, India & the World Economy.

The global economic slowdown has fostered the need for unprecedented international policy coordination globally with key role players as US, Europe, Russia, China and India. Regulators of developed and developing regions have to work closely with each oilier, actively participate in the international Financial Stability Forum and the standard-setting bodies operating trader the aegis of the B1S, World Bank, IMF, UN & other agencies. The turmoil is product of global credit boom sponsoring mortgages, real estate and over capacitating stock-markets/stock-market linked assets/products with no real assets to support. This has been characterized by a broad under pricing of risk assessment, excessive leverage by financial institutions, and an emergence on complex & opaque financial instruments that are fragile under stressed free-market mechanisms. This credit squeeze is turning out to be one of the principal causes for the economic slowdown now taking place in many countries. [ABSTRACT FROM AUTHOR]