HSBC survey said economic growth in emerging market economies slowed in the July-September quarter on poor performance by the manufacturing sector, but India expanded more than China.

The HSBC Emerging Markets Index EMI slipped to 52.1 in the third quarter this year, from 53.2 in the April-June period. A relatively better performance from the services sector was offset by the poor performance of the manufacturing sector, as global demand softened.

However, among the big-four emerging markets, expansion in India and Russia was better than Brazil and China, HSBC said.

HSBC's chief economist Murat Ulgen said emerging economies are being impacted by the misery of the developed world as the deteriorating global trade cycle, weaker external demand and falling new export orders hit manufacturing output and the services outlook.

 In Vietnam, one of the wealthiest banking tycoons has been arrested on suspicion of violating economic regulations. The detention of Nguyen Duc Kien, one of the founders of nkAsia Commercial Ba prompted sharp falls on the Stock Market amid fears about the health of the Vietnamese economy. Mr Kien is the chairman of Hanoi Football Club.

Rajan, known for his frank views, was also honorary economic advisor to Prime Minister Manmohan Singh. He is also highly acclaimed for predicting the 2008 global financial crisis. 
The position of the CEA has been lying vacant since Kaushik Basu's term ended on July 31.

lanning Commission Deputy Chairman Montek Singh Ahluwalia today said that achieving an average GDP growth rate of 9 per cent in the next five years, 2012 to 2017, is not possible, because of the deteriorating global economic situation. Instead, he said GDP growth of 8 to 8.5 percent may be feasible. But he said this will require a major effort. 

The Planning Commission Deputy Chairman further said that given that the world economy deteriorated very sharply over the last year, the growth rate in 2012-13 may be 6.5 to 7 per cent. He also indicated that he will share his view with other members of the Planning Commission to choose a final number for the economic growth target to put before the country's NDC for its approval.

India is poised to occupy the sixth position in the top 10 wealth markets this year after edging out Spain for 10th slot in 2011. According to Datamonitor's 2012 global wealth market report, uncertainty about the future of the euro and the worsening of the sovereign crisis in Europe are predicted to cause continuing problems. But many emerging markets are expected to continue marching ahead. The report said, the world order of wealth markets is witnessing a tilt towards emerging economies which are expected to overtake their Western European counterparts going forward. India, in particular, will experience explosive growth, and is anticipated to jump sixth place by the end of this year, the report said.