Low Confidence Is Recession Back?2011-08-31T02:29:04+05:30
If there are fears that recession is slowly hitting the world then this survey deepens it by stating that India's business confidence index is going down. According to this survey India's business confidence has slumped to a two-year low it is slowing domestic and global economy.
This survey was done on nearly 300 companies. It shows that the business confidence index is tumbled to 51.6 out of 100 in the April-to-June quarter from 63.7 in the previous three-month period.
This survey covered companies from the textiles, steel and energy sectors to autos and consumer goods. If believe to the reflection of the survey ‘growing apprehensions about the world economy entering into another recession’.
The Federation of Indian Chambers of Commerce and Industry officials says, "Both global and domestic factors seem to have dented the level of confidence of India Inc.,"
Earlier Central Bank has also hiked interest rates 11 times in past 18 months in an effort to curb inflation.