)
Stating that the worst in the economy is over, Godrej Industries Chairman Adi Godrej today said India's economic growth will improve next year, and investors will reap benefits in 3-5 years.
"The worst is behind us. I think India's GDP growth will improve in the coming year," he said at an event here.
India's economic growth fell to decade's low of 5% in 2012-13 fiscal. In the first three months of 2013-14, growth was four year low of 4.4%.
Finance Minister P Chidambaram had, however, said the growth will be between 5-5.5% this fiscal.
The Reserve Bank of India had scaled down economic growth forecast for current fiscal to 5% from the earlier projection of 5.5%, citing downside risk stemming from domestic constraints.
Godrej also said this is good time to invest in India. "This is great time for FIIs. Those who invest now will reap benefit in 3-5 years," he said.
Foreign investors have poured in over Rs 4,000 crore in the equity market so far this month amid renewed optimism about the Indian economy.
Total foreign investment in the stock market has reached Rs 92,936 crore (USD 16.8 billion) so far in 2013, as per the data from Securities and Exchange Board of India, the capital market regulator.
Godrej also said Indian companies have become more competitive after economic reforms initiated in 1991.
Speaking at the event, Member of Parliament N K Singh said: "Bipartisan support is needed for labour reform...There was no consensus on economic reform in 1991.Difficult measures that needs to be taken would never be popular."
Amendments to various labour laws have been awaiting Parliamentary approval.
