CII’s 117th edition of quarterly Business Outlook Survey indicates a sustained uptrend in business sentiment during the Oct-Dec 2021 quarter, as the CII Business Confidence Index (BCI) has moved up to the level of 66.8, from 62.6 recorded in the previous quarter.
The latest survey results are based on responses from about 180 firms, across all industry sectors, including micro, small, medium and large enterprises and covering all regions of the country.
As per the findings of the survey, major proportion of the respondents (43 percent) are of the view that GDP growth would range between 8%-9% during FY22.
Inflation expectations, on the other hand, continue to remain high with a majority of respondents anticipating an increase in inflation this year, vis-à-vis last year.
On the fiscal front, nearly 60 percent of the respondents expect fiscal deficit to lie within the 6%-7% range for FY22.
With regards to the business environment, majority of the respondents reported a marked improvement in business conditions in FY22, with many reporting that demand and capacity utilization had improved beyond the pre-pandemic levels.
However, a large proportion of respondents continue to feel that subsequent waves of the pandemic remain the biggest risk to business sentiment over the next six months.