Forex factories in India closed, leaving many to worry
BANGALORE, India — A day after an industrial accident killed more than 40 people in China, the world’s biggest trading partner is bracing for another blow, with many forex factories closing.
Forex companies in India, the financial hub of the world, will reopen on Thursday after nearly six weeks without an industrial disaster, according to the head of the country’s central bank, who said he was confident the factories would reopen as planned on Friday.
More:India, which has been in a deep economic recession, is still grappling with the effects of the pandemic.
India’s economy is estimated to be $2 trillion and the country accounts for nearly one-third of global trade, with China accounting for the vast majority.
Last year, about 10 percent of India’s exports went to China, and a record 2.3 billion rupees ($18.3 million) was shipped through the country last year, according the International Monetary Fund.
On Thursday, the central bank also announced that it would buy more than $2 billion in Indian shares, to be used to shore up its balance sheet.
Prime Minister Narendra Modi has made it a priority to help India’s struggling economy, and he has promised to step up the pace of industrial investment.