India to recover faster than China from global crisis: OECD

China will have to wait longer than India to recover from the impact of current global financial crisis on account of its heavy dependence on exports, a latest report by the Organisation for Economic Cooperation and Development (OECD) said.

As per the OECD projections, Indian economy will start recovering from the crisis in 2009 itself, while China will have to wait for one more year.

The growth projections of the OECD reveal that economic growth rate in India will improve from 7.0 per cent in 2008 to 7.3 per cent the next year and climb further to 8.3 per cent in 2010. India recorded a growth rate of 9 per cent in 2007-08.

However, in case of China the economic growth rate would slip from 11.9 in 2007 to 9.5 in 2008. The downward trend would continue throughout the next year with growth rate sliding further by 1.5 per cent to 8 per cent in 2009.

Chinese economy, as per the data, will recover only in 2010 with a growth rate of 9.2 per cent, OECD, the 30 nation industrialised group said, in its economic outlook.

Export growth is weakening and, with slower capital formation, domestic demand is lso projected to ease, the OECD forecast on China said.

While Indian economy is projected to slow further over the next year and to recover in tandem with the world economy in 2010, the report said though the signs of recovery as per its figuures would be seen even before 2010.

Referring to price rise, it said: "Inflation is high, driven by commodities prices, but the peak appears to have passed."