In the run-up to the interim budget, 32 percent of the CEOs Moneycontrol polled expressed faith in the resilience of the Indian economy, while 28.3 percent said red tape was an area of concern. Over 50 Chief Executive Officers, spanning from sectors like fintech, banking, FMCG, start-ups, technology, etc. were surveyed as a part of the MC India Inc CEO Survey.
11.3 percent of them expressed concern over India's uneven demand and 17 percent were worried about the policy uncertainty. While the remaining 11.3 percent expressed concern over multiple other issues including K -shaped recovery and unemployment.
The outcome of the 2024 general elections and its impact on India's growth did not emerge as a major issue of worry among the chief executives.
Also Read | MC CEO Survey: What are the key findings, who participated and other questions answered
On the recent surge in Covid infections (3,075 cases nationwide as of January 14), 45.3 percent said they were not worried about it, 28.3 percent said that they were mildly concerned, and 24.5 percent said that they were monitoring the situation closely. Over 50 CEOs responded to the query in the survey.
With major economies bracing for a slowdown (UK is expected to grow at 0.7 percent and US at 1.4 percent in 2024), 35.8 percent of the respondents said they were somewhat concerned about the global gloom, while 35.8 percent said they were keeping a close watch on the situation, and 13.2 percent said the global situation was not of concern to them. Over 50 CEOs responded to this question in the survey.
Key reforms
Asked which key reforms should be the government’s top priority to boost economic growth, many said that red tape should be reduced and the market should be allowed to flourish with regulatory stability.
While some said that manufacturing should be promoted with tax incentives for investment in startups, others called for a faster roll out of the new labour codes.
Some of the CEOs said that multiple reforms are required to ensure transparency and speed in setting up a business. They added that tax breaks should be increased to boost private investment, there should be upskilling to create export quality products, and export hubs with tax holidays should be looked at. They added that there is an urgent need to create an enabling environment by fostering innovation and job creation across various sectors, and that encouraging private investment is pivotal to our economic resurgence.
Ease of doing business is crucial, and bold reforms that can speed up approvals will help unleash growth, some of the CEOs said. They also explained that ease of access to financial services by having a single window for KYC across every product (instead of silos) will be helpful.
Some of the respondents said that boosting consumer demand across sectors can generate more jobs.
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