Barack Obama's re-election may aid faster economic recovery: Ficcci, Assocham

NEW DELHI: Industry bodies today said the re-election of President Barack Obama is expected to revive the US economy which will have positive impact on India as well as the rest of the world.

"Ficci expects the new administration to set the US economy firmly on the path of revival and robust growth. This would be of great significance for the world economy and Indian exporters should be looking at a sustained rise in demand in the US," Ficci said in a statement.

The new administration under Obama would take both long-term and practical view of issues such as outsourcing "which ultimately are in the US national interest because they help US companies drive down costs paving the way for expansion," Ficci President R V Kanoria said.

Obama today won a historic election to get a second term as US President, overcoming a stiff challenge from Republican Mitt Romney defying concerns over his handling of economy and anxiety over the future.

Assocham also expressed hope that "the US economy will recover fast as the Indian economy is deeply integrated with it."

Assocham President Rajkumar Dhoot said that with Obama's re-election the untapped trade opportunities between India and US will be tapped and US companies will hugely invest in the infrastructure development opportunities that India provides.

"The US is the largest economic partner of India and 60 per cent of our software exports are directed towards it," he said.

The Assocham chief further said it was heartening that India has reiterated its commitment to continue with the reform process which, indeed, will help economic development of the country and also provides opportunities for countries like US to invest.

With regard to high-tech transfers, Ficci said that it is expected that the second Obama administration will carry forward the momentum that had been setting in towards the last days of the first Obama administration.

"US-India energy cooperation will reach a greater point with possibility of North America becoming a energy superpower with the discoveries of Shale and Oilsands," Ficci said.