CII Business Confidence index increases markedly in Apr-Jun 2016 as business expectations improve

1. Highlights of
95th Business Outlook Survey
June 2016
CII Business Confidence Index (CII- BCI) for April-June 2016 quarter
rises to 57.2

2. CII Business Confidence Index (CII- BCI)
for April-June 2016 quarter rose to 57.2
from 54.1 in the previous quarter.
SOURCE CII: 95th Business Outlook Survey
54.1
57.2
January - March 2016 April - June 2016

3. Majority of the respondents expect the
economy to grow between
7.0-8.0%
GDP
SOURCE CII: 95th Business Outlook Survey

4. Nearly two thirds of the
respondents expect another
cut in policy rates by the
central bank.
64%
SOURCE CII: 95th Business Outlook Survey

5. More than three quarter of the
respondents expect inflation to
lie in the 4.0-6.0% range
78%
SOURCE CII: 95th Business Outlook Survey

6. Majority of the respondents
attribute the recovery in
corporate sector to increased
government spending
43%
SOURCE CII: 95th Business Outlook Survey

7. Major share of the respondents
feel that a turnaround in the
global economy will help
jumpstart private investment
cycle
40%
SOURCE CII: 95th Business Outlook Survey

8. Close to half of the
respondents expect capacity
utilization to improve to 75-
100% level in Apr-Jun 2016
quarter
47%
SOURCE CII: 95th Business Outlook Survey

9. Majority of the firms expect no change in their
domestic and international investment plans
in Apr-Jun 2016 quarter
SOURCE CII: 95th Business Outlook Survey

10. Significant majority anticipates
an increase in wages and
salaries and unchanged credit
cost in Apr-Jun 2016 quarter
SOURCE CII: 95th Business Outlook Survey

11. Half of the respondents
anticipate an increase in after
tax profits in Apr-Jun
2016.
50%
SOURCE CII: 95th Business Outlook Survey

12. Majority of the respondents expect
no significant change in external trade
in Q1 FY17.
SOURCE CII: 95th Business Outlook Survey

13. Low domestic demand and fragile global
economic recovery emerge as the top concerns
this quarter
Top Concerns in Apr-Jun quarter
SOURCE CII: 95th Business Outlook Survey