India’s financial conditions index down by over 12 points in Q4FY18: CII-IBA study

19 Feb 2018 Evaluate

A joint study by the Confederation of Indian Industry (CII) and the Indian Banks’ Association (IBA) has indicated that the India’s financial conditions index stood at 53.2 for Q4 (January-March) of 2017-18 as against 65.3 in the previous quarter, thereby registering a significant fall of 12.1 points. However, the joint study noted that on a year-on-year basis, the index has shown an improvement of 5 points in Q4FY18. Besides, it showed that two other sub-indices, viz. the external financial linkages index and economic activity index have improved during the quarter, while there has been a compression in the cost of funds index.

CII-IBA mentioned that among the sub-indices, the external financial linkages index has recorded the highest contribution followed by economic activity index. It also explained that within external financial linkages index, the respondents are very optimistic about the increase in foreign exchange reserve and expectation of increase in the money mobilisation through the ECBs, FCCBs, ADRs and GDRs. The report further stated that the respondents are also quite optimistic about the increase in net capital inflows and it also pointed out that total assets of the respondents are around Rs 68 lakh crore. It highlighted that the economic activity index recorded a value of 62.5, which was the second highest. Besides, it said that the increase in economic activity index is supported by the expected increase in non-food bank credit and growth in real GDP. It added that the growth in real GDP recorded a value of 83 and non-food bank credit recorded a value of 90, both higher than the previous quarter.

According to CII-IBA, a total of 29 banks and financial institutions participated in the survey that includes 11 public sector banks, 5 private sector banks, 2 foreign banks, 2 co-operative banks, and 9 non- banking financial companies. Commenting on the Index results for Q4FY18, Chairman of Indian Banks' Association (IBA) and MD & CEO, Allahabad Bank Usha Ananthasubramanian has said that overall index reading is optimistic about the financial sector though the cost of fund index has contracted significantly. She also pointed out that with inflation apprehension looming large coupled with drying up of excess liquidity from the system, the room for rate action from the central bank does not exist.

Create stable, long-term investment portfolio with strong, consistent stocks.

Start Research-backed Investing ...Now. Subscribe to Sapphire

About MoneyWorks4Me

MoneyWorks4Me is a SEBI-registered Investment Adviser (IA) dedicated to helping investors build long-term wealth through transparent, research-driven, conflict-free guidance. Founded in 2008, we started our journey as a Research Analyst (RA), providing deep fundamental analysis, intrinsic value insights, and long-term investing frameworks for Indian equities. In 2017, we transitioned to a full-fledged SEBI-registered Investment Adviser, strengthening our commitment to acting as a fiduciary—always putting the investor’s interest first.

Our Vision

To become India’s most trusted, research-powered fiduciary advisory platform—where every investor, regardless of experience, can make calm, confident, and well-reasoned investment decisions.

What Makes MoneyWorks4Me Different

Fiduciary-first advisory model.
As SEBI-registered IAs, we are legally and ethically bound to act in the best interests of our clients. We do not sell or distribute any financial products. This ensures our guidance is 100% unbiased and conflict-free.
Deep fundamental research + robust valuation discipline.
Built on more than 15 years of equity research, our framework combines quality assessment, intrinsic value estimation, and a sensible margin-of-safety approach.
Process—not predictions.
We don’t rely on guesswork or market timing. Instead, we focus on asset allocation, risk management, and long-term compounding.
Technology + Human Intelligence.
We believe a combination of both is essential for investing success. We constantly innovate and upgrade in-house tools, financial X-rays, and portfolio analytics so that our team of analysts and advisors are equipped with the best.
Partner with Clients.
We follow a DIWM (Do-It-With-Me) approach where we partner clients in setting goals, financial planning, educating on our investing process and share decision-enabling resources transparently with our clients who retain control on execution.

Our Approach: Ensuring compounding work its magic on client portfolio.

MoneyWorks4Me ensures this through:

Investing in stocks, mutual funds, debt, and gold
Quality-at-Reasonable-Price way of investing in stocks
Constructing Direct Stock Portfolios with Core, Booster, and Amplifier stocks
A Mutual Fund Portfolio that delivers consistent out-performance and meaningful diversification (low overlap)
Periodic review and rebalancing
Clear Buy-Sell-Hold, and Position-sizing frameworks

Name of the IA registered with SEBI:	The Alchemists Ark Pvt. Ltd.
Logo:
Trade/Brand Name of IA:	MoneyWorks4Me Investment Advisers
Brand Logo:
SEBI Registration Number:	INA000013323 Validity – May 16, 2019 – Perpetual
Registration:	Non-Individual
BSE Enlistment No:	1187
Address:	B-101, Signet Corner Building, Balewadi Phata, Baner, Pune, Maharashtra 411045
Compliance officer Details:	Name: Shrikant Jagtap Email: shrikant.jagtap@moneyworks4me.com Telephone: +919860359463 Address: Same as IA
Grievance Officer Details:	Name: Mukta Vaze Email: mukta.vaze@moneyworks4me.com Telephone: +91 98609 19463 Address: Same as IA
Principal Officer Details:	Name: Atharva Bhide Email: atharva.bhide@moneyworks4me.com Telephone: +91 91758 99463 Address: Same as IA
Standard Warning:	Investment in securities market are subject to market risks. Read all the related documents carefully before investing.
Disclaimer:	Registration granted by SEBI, enlistment with exchange and certification from NISM in no way guarantee performance of the intermediary or provide any assurance of returns to investors.