## Saturday, June 16, 2007

### Article by Sanjeev Sanyal on MIFC

Sanjeev Sanyal of Deutsche Bank has written a good paper on Mumbai as an International Financial Centre (MIFC). He emphasises the opportunity of building a world class city on the Eastern waterfront of Bombay as a Canary Wharf.

1. I was recently at the office of the FSA located at Canary Wharf and while waiting for the host to come down to escort us for the meeting, saw some old photographs of Canary Wharf in the lobby, which showed how a seeming wasteland being transformed into a buzzing financial powerhouse. During the meeting itself, in a conference hall on the first floor, the elevated trains kept trundling outside the window, providing a nice dynamic backdrop. Our local colleague told us with a touch of pride how the transformation had taken place... So much in contrast with Mumbai, where different interests take conflicting positions when the question of utilisation of dock areas in Mumbai comes up and are always operating at cross purposes.

2. There are several problems with the article and even the original idea. I wish to briefly point out two.

One, the assumption "if you build it they will come".

Two, others i.e. competitors will stand still while Mumbai develops as a MIFC. The least that is essential is a perspective (evolutionary game theoretic ?) with consideration of several possible scenarios.

3. Here is another take on the HPEC

LaTeX mathematics works. This means that if you want to say $10 you have to say \$10.