E&Y chairman and CEO James Turley says, in an interview to CNBC-TV18, that India will remain as one Ernst and Young‘s top destinations for long-term investment.
Ernst & Young will announce the winner of its 13th Entreprenuer Of The Year awards at a gala ceremony in Monte Carlo on Saturday. Companies from 49 countries are in the fray to be crowned the best in the world. Carrying the Indian flag is Adi Godrej, chairman, Godrej Industries.
E&Y chairman and CEO James Turley says, in an interview to CNBC-TV18, that India will remain as one Ernst and Young’s top destinations for long-term investment
Below is the edited transcript of the interview on CNBC-TV18
Q: What is the mood like in Monte Carlo? Are people feeling more confident, buoyant about global growth and recovery?
A: The mood here in Monte Carlo is very positive. It is really something to bring 49 entrepreneurs around a globe — the confidence and inspiration is very palpable. Europe remains a concern and investors are concerned with the lack of growth in the eurozone
Q: What is your views about what the Fed is likely to do as far as the QE is concerned?
A: I am not an active Fed watcher, but it is clear that the stock markets are reacting very wildly to what they think the Fed is going to do. The actual real economy is not reacting quite as much. I think the Fed is keeping a close watch on the economy and took today's positive job growth into consideration. The job growth was slightly better than expected in the United States and though I anticipate no real quick moves, the Fed will continue to watch.
Q: What is your view on India?
A: I think India remains one of the most attractive places in the world on a long-term basis. India is in a bit of a down cycle right now, but I am very confident that with the talent, the ability and confidence in government and business, the economy will go a long way. The overseas view on India remains very positive.
Q: Does the tax and the regulatory environment continue to be a challenge for foreign investors investing in India?
A: It is. The tax and regulatory issues in India have complexities that causes foreign investors to pause a bit. On the other hand, the macro-economic growth potential over the long term is difficult to ignore. But I think removal of tax and regulatory hurdles would prove to be real advantages.
Q: Is India your preferred investment destination today?
A: India, over my over-12-year tenure at the helm of Ernst and Young, is a country that had great potential and a lot of confidence frpm the early part of the 2000s. Now that confidence is a bit shaken. But in the long term, this is a place we are going to invest at Ernst and Young.