India Inc optimistic on fund raising opportunities

NEW DELHI: Boosted by ongoing economic reforms and liberalisation of international trade, nearly 64 per cent of the Indian businesses plan to raise funds for their growth activities in the next one year, a report says.

About 61.5 per cent of the businesses are looking to raise funds through local banks.

These are findings of the the International Business Report 2007 conducted by global advisory firm Grant Thornton which surveyed over 500 businesses having a turnover in the range of Rs 100-500 crore across India.

According to the report, 64.3 per cent of the respondents would seek to raise funds within the next one year.

"Spurred by the economic reforms of the 1990s and the liberalisation of international trade, the Indian economy is now among the most dynamic in the world."

"Business owners in India have been taking advantage of these reforms and a certain element of their positive attitude stems from their optimism that impediments to future growth will be addressed by the reform processes," Grant Thornton India (National Markets Leader) Monish Chatrath said in the report.

Apart from those planning to raise money through local banks, the rest would look at getting funds through private equity, strategic investment, public issue, foreign banks and flotation of local or overseas markets.