Business Confidence At 2-Qtr High In Q3

New Delhi: The industry is buoyed by policy continuity as the CII Business Confidence Index soared to a two-quarter high of 68.2 for the July-September period this fiscal, the lobby grouping said in its first survey after the Lok Sabha polls.

The 128th round of the CII Business Outlook Survey was conducted in September 2024, covering more than 200 firms of varying sizes across all industry sectors and regions. Economic momentum has gained speed post the general elections, the industry body stated. India’s economic growth has held up well despite global challenges, CII said, asserting that the upcoming festive season portends well for fortifying growth prospects further. However, it cautioned that the uncertainty in the global scenario persists, necessitating a careful watch on the evolving economic conditions”.

A few niggling business concerns have been highlighted by the respondents in the survey, with protracted geopolitical tensions, spike in global commodity prices and slowing external demand being the top three ones. The survey respondents cited factors like improvement in consumption, especially rural demand, steady progress in monsoon, continued emphasis on reforms and fresh sightings in private investment as the key reasons, which will drive growth in the current financial year. More than half (59%) of the respondents anticipate an improvement in private capex in the first half of FY25 (April-September) compared to the previous six months.