Strikes, closures and unrest are the biggest risks affecting businesses in India and its economy, according to a report.
The Ficci-Pinkerton India Risk Survey, which mapped 12 key risks that pose threat to the economic ecosystem of the country, ranked strikes, closures & unrest; information & cyber insecurity; and crime among the top five threats to business operations.
Besides, terrorism & insurgency; corruption, bribery & corporate frauds also hampered the businesses, it said.
“The devastation that takes place from terror attacks can easily disrupt the entire business operations. A major fear is the rise of terrorist activities in the Middle East and its expansion to the Indian subcontinent," the survey noted.
Along with terrorism, insurgency by leftist guerrilla groups, called Naxals, and other ethnic insurgencies in various parts of India pose major risks for business establishments and operations, it added.
The risk of political and governance instability was ranked sixth in the survey. Another area of concern voiced by various industry bodies was retrospective tax demands served on many multinational corporations.
