India Inc upbeat on economy: CII poll

India Inc continues to remain upbeat about the economic fundamentals with a majority of CEOs expecting a GDP growth rate of over 6% for the current and the next fiscal, according to a snap poll conducted by CII.

While 57.5% of CEOs felt 2004-05 would end with a GDP growth rate of 6-6.5%, about 31.8% said the growth rate would be 6-7%, a CII release said.

While 26.5% respondents felt that GDP would grow by 6-6.5% in 2005-2006, 37.5% CEOs expected growth to be between 6-7%.

On inflation, 31.42% expected it to vary between 7-8% while 38.57% predicted a lower rate of 6-7% in the next fiscal.

A majority 81% felt that fiscal deficit during the current fiscal would be less than 4.4% of GDP.

On expectations from the next budget, 54% CEOs expect the corporate tax rate to remain at the current level of 35% while the remaining 46% said it could come down to 30%.

Similarly, a majority 57% expected the most common prevailing customs duty to remain at 20% while the remaining 43% expect it to be reduced to 15%.

According to the poll, industry leaders also expect good growth figures for their companies - 38% seeing 20-30% increase and another 38% eyeing growth between 10-20% - in 2004-05.