A significant majority of Chief Executive Officers in India are forecasting notable economic growth for the country, expecting an increase of up to 7.5% in the current financial year. This optimistic outlook comes from an exclusive Deloitte survey, which included responses from 78 CEOs and Chief Experience Officers (CXOs).
The survey results indicate that 59% of the respondents anticipate a GDP growth rate between 6.5% and 7.5%, with an additional 21% expecting the growth to exceed 7.5%. The remaining respondents maintain a neutral stance, predicting growth between 6 to 6.5%.
Last month, the Reserve Bank of India (RBI) revised its GDP growth forecast for FY25, raising it to 7.2% from the earlier estimate of 7%. For FY24, the growth estimate has been adjusted upwards to 8.2%, according to the statistics ministry, up from the second advance estimate of 7.6%.
The survey highlights key drivers of this growth. A notable 73% of CEOs believe that continued investment in physical and digital infrastructure will be a significant growth driver. An almost equal percentage, 72%, points to India’s young, skilled workforce and large consumer base as crucial factors.
The government’s focus on an investment-led growth model is evident in the Interim Budget presented on February 1. Finance Minister Nirmala Sitharaman announced a record capital expenditure of Rs 11.1 lakh crore for FY25, marking an 11.1% increase over the previous fiscal year. However, while the monetary capex allocation has risen, the pace of growth has decelerated from the approximate 35% seen in the past three financial years.
Additionally, 51% of the survey respondents identified bold reforms in manufacturing and job creation as pivotal to sustaining India’s high-growth trajectory.
Recent data from the RBI, released on July 8, supports this optimistic outlook. The provisional data shows that India added 2.5 times more jobs in FY24 compared to the previous year, with employment numbers rising to 643.3 million at the end of FY24 from 597 million the previous year.
Have you read?
The Top 100 Highest-paid CEOs in America.
Countries With Lowest Rate of Economic Growth in 5 Years.
Countries Most in Debt to China.
Most Attractive Cities for Global Talent.
Largest economies in the world by Share of Global GDP.
Add CEOWORLD magazine to your Google News feed.
Follow CEOWORLD magazine headlines on: Google News, LinkedIn, Twitter, and Facebook.
Copyright 2024 The CEOWORLD magazine. All rights reserved. This material (and any extract from it) must not be copied, redistributed or placed on any website, without CEOWORLD magazine' prior written consent. For media queries, please contact: info@ceoworld.biz
