NOT-BROAD BASED INVESTMENT CLIMATE IN INDIA, REDUCED UNCERTAINTY REQUIRED: BANK OF BARODA
According to a research by the Bank of Baroda, the investment landscape in India is one of cautious movement in particular industries and is not broad-based.
According to the bank research, determining the attitude of private investment will take several quarters.
Higher interest rate scenarios and inflation, along with ongoing global political instability, will accelerate the pace of investment in the next months, it added.
The investment climate in India began in a lower tone in Q1FY23,
with statistics indicating a substantial reduction in new project announcements compared to Q4FY22.
The reduction was widespread, but the industrial sector saw the greatest drop.
However, when compared to previous years, Q1FY23 announcements were more than those in 2019, 2020, and 2021.
India’s foreign reserves declined by $6.687 billion to $564.053 billion.