The MoU between General Electric (GE) and Hindustan Aeronautics Ltd (HAL) is expected to have a positive impact on India's economy in several ways.

• The MoU will promote the 'Make in India' initiative by encouraging the domestic production of aero-engine components. This will reduce India's dependence on imports and boost the country's self-sufficiency in the aerospace sector.
• The partnership between GE and HAL will create job opportunities in the Indian aerospace industry and improve skill development.
• The development of a local supply chain will bolster the growth of the Indian manufacturing sector.
• The proposed collaboration is expected to generate foreign direct investment (FDI) in India, thereby strengthening the country's economic growth prospects.
• The MoU paves the way for technology transfer and knowledge sharing, which will augment India's indigenous capabilities in aerospace engineering.

Overall, the GE and HAL MoU is expected to have a positive cascading effect on India's economy and encourage the growth of the aerospace industry.