According to the recent FDI survey released by CII in association with EY, India has emerged as one of the top three choices for investments in the next two to three years.
In the survey, more than two-thirds of respondents of multinational companies (MNCs) cited India as their number one choice for future investments.
Around half of the survey respondents see India as the top three economies or leading manufacturing destinations of the world by 2025.
As per the survey respondents, the top three reasons that make India their favoured destination are market potential, skilled workforce and political stability.
Other factors include the availability of raw materials,
cheap labour availability and policy reforms.
Talking about the survey, CII Director General Chandrajit Banerjee said,
“The CII-EY survey results strongly indicate that India will be the next global investment hotspot with a high proportion of MNCs placing it at the top of their investment agenda.”
As per the survey, 52% of Indian HQ companies believe corporate tax rate reduction would be the prime mover of future investments.
Investors also want improvements in trade policy reforms and would like to see improved cargo handling and faster turnaround time for exports and imports.
Chandrajit Banerjee also talked about global investors’ interest in India and said, major structural reforms, proactive government processes have emerged as the top drivers for fresh investments.
He said,
“The recent major structural reforms, proactive government processes and the quick pickup in economic activity following Unlock measures are contributing to global investor interest.”
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