The Federation of Indian Chamber of Commerce and Industry (FICCI) and PwC in their latest survey report stated that India Inc expects Indian economy likely to grow over 7% in the next 12 months on the back of a number of policy initiatives taken by the government. India Inc is upbeat about the future of the economy as growth is to be driven by strong domestic demand and an increased focus on export markets.
As per the report titled ‘The India Manufacturing Barometer 2019’, the key driving factors for growth of economy includes strong public sector driven infrastructure development, easing out of business and regulatory processes, and opening up of Foreign Direct Investment (FDI) in several sectors, including simplification of FDI rules for large investments. The industry believes that the GST will help attract foreign and domestic investment across new locations. It will contribute to improving logistics which includes ease of procuring, enabling efficient supply chains and rationalizing its cost.
According to the survey report, about 76% of respondents were optimistic about the prospects of Indian economy for the coming year, representing a significant jump over last year (63%). The survey is based on the sample of companies that contribute around 12% to the manufacturing Gross Domestic Product of the country. The sectors include automobiles, chemicals, electrical machinery, food processing, leather, pharmaceuticals and textiles.
