Indian businesses upbeat over economy

A majority of businesses in India are upbeat about the prospects for the domestic economy and hope for a strong start in 2013, reveals a new survey.

The Grant Thornton International Business Report (IBR), says 71 per cent of businesses in India were optimistic about the economy, well ahead of the global average which stood at just 4 per cent.

According to Grant Thornton India Partner Munesh Khanna, the global economic scenario and certain inherent risks notwithstanding, the Indian economy, on the back of positive measures such as policy changes, mega project clearances, regulation implementation and anticipated interest rate reduction was poised for an accelerated growth trajectory

According to the survey, increased revenue was the key indicator for increased optimism (85 per cent) among Indian businesses followed by employment opportunities (84 per cent) and profitability (71 per cent).

The IBR report added that global business optimism stood at just 4 per cent heading into the New Year.

 "This halts a rally in confidence seen in the first half of 2012, when global business optimism reached 23 per cent, and brings it nearer to the zero per cent level observed this time last year," Grant Thornton said.