Washington (Agencies): Aiming at reviving the country’s economy, US President Barack Obama’s budget proposal looked at India as 'one of the most important and promising emerging markets in the world'.

'India is one of the most important and promising emerging markets in the world, and represents a tremendous opportunity for US firms to expand their output of goods and services,' the budget proposal presented on Monday said.

Obama's proposed $3.7 trillion spending plan for 2011 hopes to 'win the future by out-innovating, out-educating, and out-building our global competitors and creating the jobs and industries of tomorrow', according to the White House.

These cross border alliances, both public and private, underpin the expanding US-India strategic partnership, contributing to economic growth and development in both countries, it said.

Notable examples include the sale of commercial and military aircraft, gas and steam turbines and precision measurements instrumentation.

The budget proposals said the emergence of a global market place that includes the growing economies of China, India and other developing counties creates an opportunity for America to export US goods and services to new customers.

'With 95 percent of the world's customers as well as the globe's fastest growing markets beyond our borders, we must compete aggressively to spur economic growth and job creation,' the budget said.

Obama's third annual budget says that it can reduce projected deficits by $1.1 trillion over the next decade, enough to stabilise the nation's fiscal health and buy time to address its longer-term problems, the New York Times said citing a senior administration official.

With Republicans in charge of the House, Obama's budget is more a statement of his priorities and philosophy than an actual template for federal spending and tax policy, the Times noted.