7.8% rise in Business Confidence Index
The latest survey released by National Council of Applied Economic Research (NCAER) divulges that after hitting a six-year low in August-October, India’s business confidence rose by 7.8% from the preceding quarter to 111.2. A slowdown in the economy and liquidity crunch, resulted in economic growth rate cooling to a more than six-year low of 4.5% in the September quarter.
“Despite showing improvement in the third quarter of the current fiscal, business sentiments continued to exhibit lingering weakness and specifically fragility,” the Delhi-based think tank stated. Thus, companies remained apprehensive about future overall economic conditions and future financial position of firms. The survey encompasses 4 broad questions: such as future overall economic conditions and financial position of firms, present investment climate and present capacity utilization.