Monday, May 3, 2010

India INC Forecasts Strong Business for the First Half of the Year

On the basis of a survey conducted on around 450 Indian companies, India INC has forecasted that India’s business will have a strong prospect in the first half of the year. Companies participated in the survey also include those of outsourcing sector, one of the flourishing business sectors in India which took a major blow

The survey report has revealed that 3 in every 4 companies are planning to increase their investment in the first 6 months of the financial year. Moreover, two third of the companies have said they are looking to increase their export in the first half of the year.

Stockwatch reported:

The Confederation of Indian Industry survey said, “India Inc expects the economy to grow 7.5-8.5% this fiscal. The growth will be lead by rising capital investment and expanding exports”. The survey statement said, “With headline inflation nearing double digits, inflation is mentioned as one of the top concerns for the business community. In spite of various steps taken by the RBI to improve liquidity in the system, the actual off take of credit has not improved substantially”. It may be noted that the survey said exports could be promising over the next six months and that the survey has added 79 percent of the respondents to further increase in input prices over the next six months.

The seemingly growth in the business sector of India over the next 6 months looks very promising. Global credit crunch is now over and it seems that India’s business sector will only grow further in the first half of the year.

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