Recent Developments in China and Implications for India

China has been at the centre of a lot of controversy following its currency devaluation and the sudden crash of the stock market. Many observers especially in the developed world are accusing it of currency manipulation to defibrillate exports and hence the economy – a charge that has been levied many times in the past. However China has changed in many ways. The new China is realizing the sins of its past and is also looking far into the future. So are these recent moves a knee-jerk reaction to sluggish economic growth or part of a carefully thought-out grander master plan designed to chart China’s course into the future?

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