New Delhi: The NCAER’s 101st Round of the Business Expectations Survey (BES) shows that the Business Confidence Index (BCI) fell by 2.5 percent in July 2017 over April 2017 on a quarter-to-quarter basis. The composition of the BCI is based on four components having equal weights.
The decline in BCI was driven by deterioration in three out of four indicators on (i) present investment climate, (ii) overall economic conditions in the next six months and (iii) the financial position of firms in the next six months.
One component showed an improvement, with the percentage of firms perceiving that ‘present capacity utilization is close to or above optimal level’ going up from 91.6 percent in April 2017 to 97.1 percent in July 2017.
The Government has undertaken many structural reforms to increase the confidence of the industry including simplification of the process of applying for Industrial License and Industrial Entrepreneur Memorandum by making it available online on a 24x7 basis at the eBiz website.
Integration of twenty services with the eBiz portal which functions as a single window portal for obtaining clearances from various Government agencies, automation of registration with the Employees Provident Fund Organization and Employees State Insurance Corporation etc. As a result of these steps, India improved its rank to 100 from 130 in the World Bank’s Ease of Doing Business Report, 2018.
The Economic Survey gives the detailed analysis on the state of the economy, along with important developments during the year.