Global Meltdown with Special Reference to Euro Crises and Its Impact on Indian Economy

Global crisis or global meltdown might turn into something grave similar to the great depression of late 1920s. The present crisis begins with subprime reality mortgage loan and turn into recession of 2008, the recession was caused due to collapse of well established financial institutions such as Lehman brothers and soon covered the entire world. The economies of Europe and Asia felt the impact as the world of finance is well integrated. The world stock market plunged, industrial production decreased, unemployment increased, international trade reduced, assets of many large banks decreased and so on, but the economy of India and china not much effected because these countries have large demand and full control over banking sector which are prudent as far as lending was concerned were impacted least. However, there were some banks which increased the impact as they have invested in mortgage debtSecurities of large banks which collapse due to crisis. The euro crisis which began as a consequence of internal and sovereign debt. Bubble in some of the Europe zone countries like Greece and Spain has impacted the whole world including India. In this paper we shall study global meltdown with special reference to euro crisis and its impact on Indian markets and its economy. The research shall cover few indicators like GDP, debtof the country, unemployment, interest rate, export, and inflation in context to euro zone and comparative analysis with Indian economy.