A youthful demographic and a fast-growing economy, among other propitious factors, have turned India into one of the top three most improved business destinations, attracting investors seeking to move away from China and diversify their supply chains
A recent report by the India Economist Intelligence Unit ranks India among the world's three most improved investment destinations, behind Greece and Qatar. The country's surge to the top has been propelled by several factors, such as its large market size, growing workforce capacity, conducive investment environment, a youthful demographic and the World Bank's forecast of robust economic growth.
The country's thriving business landscape, marked by a fast-expanding, aspirational middle class, accommodates enterprises of all sizes, from bootstrapped startups and small-scale ventures to global-scale industries. Moreover, India is a youthful country with a large and fast-growing force of workers skilled for businesses across segments, from manufacturing to IT, communication, health, and education.
The environment index is based on both measurable factors, such as economic and market expansion, and relatively hard-to-define intangibles, such as expected changes in policy and institutional environment and demand from key trading partners.
In its latest forecast, the World Bank expects the country's economy to grow at 7.5 per cent in 2024 setting the stage for a major expansion between 2024-28, with an increasing number of foreign investors seeking alternative manufacturing destinations beyond China as they diversify their supply chains.