The covid-19 outbreak, is likely to alter the global investment strategy. India will pay heed to the new opportunities to turn itself into a stronger global force. The economy then will be more resilient, diversified and attractive to the global manufacturers at a time when the majority of economies all over the world are in a turmoil.
Nisha Desai Biswal,the president of US india Business Council (USIBC) believes that India is expected to benefit from the coronavirus pandemic. The businesses would want to operate in conditions which would return minimum risks. investment Admist all the problems and economic crisis, there is a hidden opportunity for the country Indian subcontinent to flourish after the covid-19 outbreak. Biswal, who served as the assistant Secretry of State for South and Central Asia during the Obama administration, also agrees to the above states notions. A lot of nations hit by the pandemic have opted for nationwide lockdowns which has deeply affected their economies.
Biswal said USIBC has written to Prime Minister Narendra Modi indicating the importance of keeping supply chains open, maintaining an open global trading system and taking necessary stimulus to support Indian businesses for global investors.
Multinational companies are also looking to diversify their supply chains away from China. These companies are looking for alternatives outside China.
The Swiss bank estimates that India’s foreign direct investment has doubled up $175 billion as against $87 billion previous year. covid-19 Key contributors are construction, infrastructure, electronics, food processing ,textile and Pharma sectors. Bankers say India can take advantage of the crisis if the authorities move fast. It can cease the opportunities by making land and electricity available. Trade data confirms market share gains for India in exports to the US. Researches report earnings transcripts of 44 multinational companies to spot nuances in language that indicate a potential relocation of manufacturing to India.