Winning Bizness Desk

Mumbai: India can achieve foreign direct investment (FDI) of US $ 475 billion in the next five years by focusing on reforms and economic growth. This estimate has been made in the jointly prepared report 'Vision Developed India - Opportunities and Expectations for MNCs' by EY and CII. According to this report, 71 percent of MNCs consider India an attractive investment destination for their global expansion, while 96 percent said they are positive about the Indian economy for a long time. The MNC appreciated the introduction of GST, promotion of digital practices by the government in various sectors and other reforms including transparency in taxation. According to this survey, most of the multinational companies feel that the Indian economy will perform much better in the next three-five years.

Focus on reforms & economic growth

The EY-CII report says, “India can create an opportunity for FDI of US $ 475 billion in the next five years by focusing on reforms and economic growth.” FDI in India has seen a steady increase in the last decade. Record FDI inflows of $ 84.8 billion occurred in the financial year 2021-22. Sudhir Kapadia, Partner, Tax & Regulatory Services, EY India, said, "India is being viewed as an emerging manufacturing hub in global value chains, a growing consumer market and a global leader in the digital transformation of the public and private sectors."

Ease of doing business factor

The survey said that MNCs expect the government to continue with ease of doing business, speedy completion of infrastructure projects, speedy free trade agreements and necessary reforms in GST. The survey pointed out that India has recently emerged as the fifth largest economy in the world with a rapid pace of economic growth to overtake Germany to become the fourth largest economy in 2025 and the third largest after the US and China. estimate of.