NEW DELHI, Jan 19: According to a recent CII survey, India’s current economic landscape is favorable for private investments, positioning the country as a “bright spot” in a challenging global environment.
The survey, which spans the entire nation, is an ongoing effort targeting 500 firms and is expected to be completed by early February. Preliminary findings from a sample of 300 firms of various sizes (large, medium, and small) reveal some encouraging trends.
Notably, around 97% of the sampled firms anticipate increasing their workforce in both 2024-25 and 2025-26. Furthermore, 79% of respondents reported that their companies have expanded their personnel over the past three years.
Conducted over the last month, the CII survey indicates that 75% of participants perceive the current economic conditions as favorable for private investments.
Chandrajit Banerjee, Director General of CII, noted, “With 70% of surveyed firms expressing intentions to invest in FY’26, we could see a rise in private investments in the coming quarters.”
Despite global challenges, including geopolitical disruptions affecting supply chains, India has emerged positively, supported by robust economic policies that focus on public capital expenditure to stimulate growth.
The objective of the industry survey was to evaluate improvements in private-sector investments, job creation, and wage growth.
The anticipated rise in direct employment due to planned investments next year is projected to be between 15% and 22% across manufacturing and services sectors, respectively.
A similar trend is observed for indirect employment, with firms in both sectors expecting about a 14% increase above current employment levels.
The majority of firms noted that filling senior management and supervisory positions takes between 1 to 6 months, while vacancies for regular and contractual roles are filled more swiftly, highlighting a gap in the availability of skilled personnel at higher levels.
Banerjee expressed optimism, stating, “With private investments and employment growth looking promising, we are confident the overall growth rate will stabilize between 6.4% and 6.7% this year and reach 7% in FY26.”
In terms of wage growth, which influences personal consumption, 40% to 45% of the firms surveyed reported an increase in average wages for senior management, managerial, and regular roles in the 10% to 20% range for FY 25, a trend that is similar to FY 24.
“These findings reflect a positive outlook regarding key elements of the economy. When considered alongside other emerging economic indicators, they will provide a more comprehensive understanding of the economic landscape,” emphasized the CII Director General. (PTI)
