Lakshmi Mittal has said that the shock of credit crunch should moderate by early next year, with the crisis mainly affecting the financial and consumer sectors.
"I am sure that there will be some calmness in the whole turmoil in the next six to nine months," the Financial Times reported quoting Lakshmi Mittal, who is the chairman and chief executive of world's biggest steel maker ArcelorMittal.
According to the newspaper, Lakshmi Mittal said large parts of manufacturing industry would not suffer the same problems as those parts of the world economy more closely linked to banking and finance such as housing and consumer goods.
"The world had to 'differentiate' between the industrial and consumer parts of the global economy, and recognise that they would behave differently as a result of today's difficult conditions, including tightness in credit markets and commodity and food inflation," the daily said.
The India-origin billionaire indicated that substantial parts of the broad industrial sector across the world would perform in a satisfactory way in the next one to two years. He also added that much of this related to the demand for manufactured products in emerging economies such as China and India.
"They (such countries) are continuing to grow and they need to grow. They are not stopping (their economic activity) even if they have slowed down their progress," Lakshmi Mittal said.
Lakshmi Mittal, who is also a board member at investment banking giant Goldman Sachs, pointed out the demand from the emerging economies would exert a positive impact on other parts of the global economy, including companies based in developed countries which sold products such as industrial machinery.
The Financial Times further quoting Lakshmi Mittal said, "He was happy that policymakers were tackling some of the root causes of the financial crisis such as measures in the US to support mortgage lending, even though concerns about inflation affecting food and oil are a clear worry."
