if currency collapse helps exports, then zimbabwe would be one if the biggest exporters.
when the currency collapses, input costs skyrocket, like raw materials, energy, machinery,tools and equipment, computers, etc.
most of these things are imported, so once your currency is collapsing(like the dropee), all these inputs become unaffordable to manufacturers.
indian numbers are highly manipulated too, they say manufacturing PMI numbers are strong but they show industrial production is flat or contracting and exports collapsing.
PMI is a survey, the indian companies are lying about ACTUAL realities and telling the surveys that things are great.
but actual output and business activity is contracting.
why?
because:
1) currency is collapsing thus input costs are unaffordable.
2) inflation is too high for consumers to buy especially since india is a low income country with MASSIVE poverty.
3) interest rates are so high, thus borrowing costs are too high for companies to get loans to expand operations.
based on these things, the indian economy is contracting pretty fast, even the official numbers say india is in a horrible situation, of course if the official numbers are that bad then the real numbers are way worse. the real state of the indian economy is in dire straits. you add to that the indian budget problems with massive debt accumulation because of years of living beyond its means, the future is very bleak for india, and im putting it mildly.
this indian crisis makes the greece crisis look mild in comparison.
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