The thin red line
We need a strong India. Record gold prices, an overseas labour market hit by the Dubai crunch and a whopping 15% inflation rate are not helping.
Despite the brave front put up by the Indian government, the debt crisis that has enveloped Dubai World threatens to hit the struggling Indian overseas labour market that is largely dependent on short-term Middle East job contracts. The latest crisis comes at a time when official estimates have admitted that unemployment rates have spiraled to 30% in the Middle East in the last one year. As a consequence remittances to India are certain to be much lower then last year, 2007-08, $43.5 billion. It is well known that when Dubai sneezes, south India, especially Kerala, catches more than just a cold.
Funny I have not encountered that Middle East jobless figure before. You will be shocked to learn I believe our news media is covering the wrong stories.
Posted by Ghost of a flea at December 2, 2009 09:24 AM