India & US both must join hands to excel

US President Barack Obama’s upcoming visit to India in his first 24 months in office indicates the importance that the US Administration allocates to India and the need for a strategic partnership between the two economies.

While appropriate agendas are being drawn up for the visit, it may be useful to focus on countering the growing debate on protectionism and enable collaboration on innovation, education, cyber security and healthcare.

The US has been the largest proponent and beneficiary of globalisation and data demonstrates that immigrants have started 25 per cent of US public companies that were innovative and venture- backed. In fact, global trade has increased the productivity of both the developed and the developing economies.

As the world is grappling with the aftermath of a serious economic recession, which is possibly leading to a rebalancing of economies, it is critical that a rational approach be taken to issues that have long- term implications.

The demographic profile of the world by 2020 indicates that the developed world, including the US, will have a shortage of working age people, while countries like India will have a surplus.

The need of the hour is to strengthen the education system in our two countries — create institutional university partnerships, co- create research in new technology areas and build a vibrant student exchange program. Tampering with visa fee or creating forced restrictions on outsourcing will neither facilitate the short- term concerns nor build the future.

Nasscom is working with the government of India to reiterate its request for introducing a services visa that will facilitate movement of professionals for specific projects, as delinked from the immigration visas that exist currently.

The need for a ` Totalisation Agreement’ that enables refund of social security taxes paid by Indian professionals in the US, is of critical importance and must find place on the discussion agenda.

In key areas like healthcare, technology innovations in low- cost devices, tele- medicine for rural areas can be joint projects that can help both countries enable affordable healthcare to its citizens. At the same time, an effective partnership in cyber- security could address the security concerns of both economies.

The true reflection of a strategic partnership will need to encompass multiple dimensions and both countries must leverage this opportunity to remove short- term irritants and build the future together.