Are 77% of Indian Firms Gaining Confidence in Trade Policy Impact?
Synopsis
Key Takeaways
- 77 percent of Indian firms report increased confidence in trade policies.
- 80 percent expect positive impacts from trade policy changes.
- Confidence in adapting to regulations rose to 49 percent.
- Only 23 percent foresee negative impacts from trade uncertainties.
- 82 percent are seeking alternative financing sources.
New Delhi, Nov 25 (NationPress) Indian enterprises are showing heightened confidence and readiness to tackle the challenges of global trade dynamics. A significant 77 percent reported enhanced assurance regarding the impact of trade policies on their operations compared to six months prior, according to a recent report released on Tuesday.
Approximately 80 percent of businesses in India expect favorable outcomes from recent trade policy shifts within the next two years, as highlighted in the report by HSBC India.
Moreover, the percentage of Indian companies feeling “knowledgeable and equipped” to adapt to evolving trade regulations increased to 49 percent, up from 44 percent six months ago, the report indicates.
Only 23 percent of Indian firms anticipate that trade uncertainties will negatively impact their operations in the coming two years, which is lower than the global average of 32 percent.
With the reduction of uncertainties surrounding tariffs, Asian companies are now forecasting a diminished effect of supply-chain disruptions on their revenue compared to six months earlier, according to the report.
“Indian companies are consistently demonstrating resilience and optimism. The survey underscores that business leaders in India possess greater confidence than their international counterparts, with many foreseeing trade policy modifications to positively influence their growth. This confidence underscores India’s robust standing in a changing global trade environment,” stated Mohit Agarwal, Head of Global Trade Solutions at HSBC India.
To bridge funding gaps, 82 percent of Indian enterprises are actively pursuing alternative sources of financing, contrasting with 66 percent globally.
As many as 78 percent of Indian businesses anticipate their revenues will increase over the next two years, significantly surpassing the global average of 57 percent.
Indian companies are prioritizing trade with neighboring markets and intend to expand their presence in Southeast Asia, Europe, South Asia, East/North Asia, and Oceania, the report noted.