Prime Minister Narendra Modi has restored his reformer credentials, establishing a framework (post-Goods and Services Tax; post-Bankruptcy Code; post-public- bankingsector clean-up, consolidation and re-capitalisation; and post-tax cuts) that allows corporate India to be globally competitive.
(Oct 14): The Tantallon India Fund closed up 5.15% in September on the back of the announcement of significant new tax reforms (slashing corporate tax rates from 35% to about 25%), putting paid to the relentlessly negative media/ market narrative over the last several months.
The reset in growth expectations and corporate risk appetite sets the stage for a fundamental revival in private sector investments — the hitherto (frustratingly) missing piece in India’s growth algorithm.
