dont let a crisis go waste..!!

We should never let a crisis go waste. They are the periods when we evaluate our past performance and come up with ways to produce unprecedented changes to give a new shape to our future. Such situations energize our grey cells and make us think and challenge our existing beliefs about ourselves. The end result is that we come out as a stronger person than ever before with a new vision towards the world. The new insights developed help us to understand the world in a holistic way which could not have been possible in the absence of such situations.

Its also true in the case of countries. India suffered its worst financial crisis in 1991. We had to pledge gold to IMF to finance our imports. However, that insult woke us up and we decided to implement economic reforms . India has become a fast growing economy with enormous potential. We would have never reached here had we not encountered those obstacles in 1991.

The recent financial crisis has given this world an opportunity to revisit the basics of finance and question some of its assumptions underlying various risk management theories. The world will come out of this crisis with important learnings which would make us wise in our future endeavours.