Afternoon D & C Dedicated To Mumbai
Home > Business & Investment > 'Global investors adopting wait and watch approach on India'

'Global investors adopting wait and watch approach on India'

Monday, July 09, 2018

Global investors are slowly adopting a "wait and watch" approach on India as they are scaling down on their aggression ahead of general elections next year amid global uncertainties, according to US-based risk management firm Kroll.

While India is one of the fastest growing major economies in the world, a senior official of Kroll said poor governance, lack of transparency and fraud risk are among the factors affecting the sentiment of foreign investors towards India.

Kroll India Managing Director Tarun Bhatia said while there was just one Satyam fraud earlier, now there are many such cases.

He was referring to the infamous financial fraud at erstwhile IT player Satyam Computer Services that was orchestrated by its own promoters. The irregularities at Satyam came to light in 2009.

"If you talk to global investors, independent of current currency depreciation, they are slowly heading towards a 'wait and watch' phase. The aggression that was there among investors 12-18 months back is not there," Bhatia told PTI.

The rupee has suffered significant fall in recent weeks and breached the 69-mark against the US dollar amid multiple headwinds, including global uncertainties and concerns over inflation.

Foreign portfolio investors have pulled out more than USD 6.6 billion from the Indian equity markets so far this year, whereas they made net investments in 2017.

According to Kroll, global investors were betting big on investing in India after a stable government came to power in 2014 but this trend has changed largely owing to global economic uncertainties and ensuing general elections.

Prime Minister Narendra Modi-led NDA government would be completing its five-year tenure in May 2019.

Bhatia said that poor governance, lack of transparency and fraud risk are some of the major issues affecting India.

COMMENTS
No Comments Posted
POST YOUR COMMENTS
Name:  
 
Email:    
Comments:
 
 
City news
The Bombay High Court refused to lift the ...
The Indian government proposed Anil Ambani's Reli
Munde says make Gujarathi official state language
Heart To Heart
Dr. Rajan B. Bhonsle, M.D. (Bom)
Consulting Sex Therapist & Counsellor
Dr. (Mrs.) Minnu R. Bhonsle, Ph.D.
Consulting Psychotherapist & Counsellor
Astrology
Select Sun sign:
 
Aries (Mar 21 - Apr 20)
Aries (Mar 21 - Apr 20)You will find work to be very stressful today. However, it will not prevent you from taking shots at your opponents. You are thoughtful, but can be cunning too. People would have gauged it by now. Ganesha advises you to go ahead nevertheless.
- Advertising -
Stock markets would continue to be guided by move
The government is facing a double whammy of falli
The government has started the process of de-acti
Read More