WHY INDIA IS A VERY ATTRACTIVE EVEN @ 5% GDP FOR FOREIGN INVESTORS?
SATYEN TRIVEDI
SATYEN TRIVEDI
An CXO on a mission to implement various growth strategies to bring positive change in the universe
- Last Friday FM announced the merger of Indian Public Sector Bank & after one hour GDP @ 5 % declared. For several people who are pessimistic or opposing MODI Govt started celebrating that what they have predicted is now a reality.
- I look at differently to this Number versus several global & Indian data point. Gross GST Collection for the period April to Aug has increased 6.35% more in 2019 vs 2018 despite fall in Auto demand, FMCG & lots of negative news. Inflation number is at extremely in a comfortable zone, Real Rate of Interest at above 3% which makes ROI most attractive, PE/VC Investment is higher by 27% in First half of 19 vs 18, Several Global Long Term Investors (usually 10 to 15 yrs Investment horizon) betting on India very aggressively.
- Let us understand why Global Investor is more bullish on India than Indian Entrepreneur? MODI Govt did key structural & behavioral reform such as IBC, GST, Swatch Bharat, Solar Alliance & Climate change Protection etc. The most important things are that nearly USD 30 Trillion dollar assets are currently under zero or negative Interest rate which is looking to deploy capital to earn interest. India is emerging out to be one of the key bright spots to a variety of reason due to population, political stability, democracy, great political equation with major countries of the world, Judicial system, Protection to Intellectual Property rights, Talented manpower, Low Inflation, Positive Real Rate of Return, attractive GDP growth, aspiring & growing consumers etc.
- My own experience of dealing with MODI Govt from Gujarat Chief Minister to PM is that he will continue to be very strict towards corruption but he will create great business opportunity for entrepreneurs who believe in paying taxes on thier earning & growing. There is great business opportunity is lying with Indian Entrenprenuer to become Global Giants but for that, they need to invest in changing their thought process as well as reform in Governance of the business. Hope we will see millions of Indian enterprise ruling the global market. There is a need to work together to Grow Together.
- Let us change our mindset from negative to Positive and Tap Great Business opportunities ahead.