India managed recession somehow-our always slow attitude -in liberalization policies acted as blessing in disguise.

India had certain disadvantageous advantages during recession, 

1 - India is an net Import country i.e. our total exports are less than imports hence our net domestic production is not able to meet our net domestic demand, in such a scenario turbulence in external environment will affect us least.

2- We are an net importer of money also hence we suck out access money out of world economy. if a foreign bank fails which had invested in in India, there are very minor side effects on Indian investment. 

3 - Indian Infrastructure sector needs huge investments and government can generate artificial growth by pumping money into by government investments. This is because infrastructure sector is still not privatized completely

4 - Indian banking System has least exposure to world banking system hence global trends affect us least although because of he same we can take advantage of world economy completely

5 - Majority of population is either below poverty or just touching middle class level, hence their expenditures can not be controlled because they spent their all earning on basic necessity, this creates a steady and consistent demand, This is the reason our food inflation is higher than total inflation.

India has got into a very scary situation where inflation is rising during recession, and country is witnessing an artificial growth because government has borrowed money to spend on infrastructure and social sector schemes, once these measures will be rolled back we will be witnessing the real impact of recession

I do not agree that because we went slow on liberalisation,we managed to ride out the recession .I say that even if we had liberalised at the rate prior to the recession , Our innate qualities of Business conservatism and prudence , would have carried us through the troubled times as it did,and FDIs would have prudently left the Business-end of JVs or acquitions, to their Indian partners .So,it would've had the same results as if we hadnt gone slow on Liberalisation...