The government said that the country is poised to recover strongly in the upcoming quarters due to reform orientation, resilient financial system, and robust domestic consumption.
Sitharaman added that pre-filled income-tax forms and the indirect tax system were also simpler than earlier versions. (Photo source: PTI)
Even as the coronavirus pandemic hits the Indian economy severely, the country is poised to recover strongly in the upcoming quarters due to reform orientation, resilient financial system, and robust domestic consumption, Finance Minister Nirmala Sitharaman’s Office said in a tweet. It added that the government has been consistently introducing reforms that are improving the investment climate in India. A day after Prime Minister Narendra Modi’s addressed the global investors in an effort to attract them to invest in India, the FM Office said that the investment landscape in India offers abundant opportunities across sectors, segments and industries.
With the growth in spending power, consumption expenditure, and internet and smartphone penetration, India is fast turning into a market that every investor would like to tap, the FM Office underlined. Highlighting the favourable investment conditions in India, it said that the National Infrastructure Pipeline, with an investment target of $1.5 trillion by 2025, provides opportunities to invest in the creation of large infrastructure assets.
The government said that India is on track to becoming a sought-after and favoured destination for global manufacturers and the country has seen robust investment inflows in recent times, with several MNCs committing significant investments in the country. The increase in FDI inflows and forex reserves over the last few years were also attributed to India’s sustained GDP growth and controlled inflation levels, which are believed to have boosted investor confidence.
Meanwhile, India received the highest ever Foreign Direct Investment (FDI) for the first five months of a financial year during April-August 2020. The total FDI inflow into India in the first five months was $35.73 billion, according to the Ministry of Commerce and Industry. It is also 13 per cent higher than that in the same period last fiscal. The FDI equity inflow received during April- August 2020 stood at$27.10 billion, which is also the highest ever for the first 5 months of a financial year and 16 per cent more than the same period last year.