HDFC Bank helps India stand tall as attractive investment destination

What makes India an attractive investment destination? At GDP growth rate of 7.5 per cent for FY19-20, according to the World Bank, India is poised to be the fastest growing economy in the world. This is accelerated by strong consumption and investment trends, and harmonisation of the GST.

Fruition of reforms

The government of India is committed to deliver reforms that stimulate economic growth. As a result, a country that used to experience high inflation of 9-10 per cent, is now witnessing mild inflation in the range of 4-5 per cent. Goods and Service Tax (GST) implemented in the second quarter of FY18, and the subsequent changes have started showing positive signals. Reduction in the GST rates and further simplification of procedures have resulted in better tax compliance and expanding the taxpayer base.
Even from a longer-term prospective, India's young population (set to be the youngest in the world by 2027), healthy savings rate at 30 per cent, growing middle-class population with disposable income, and increasing integration into the global economy makes the outlook positive. India is today the 6th largest economy in the world, overtaking France, and according to IMF reports, it is poised to become the 5th largest economy leaving the UK behind. India's Ease of Doing Business rank has also improved by 23 places to 77th.

Creating investor value

For investors, the benefits of investing in India are plenty. These include possible capital gains exemption in many cases, tax holidays for setting up business in Special Economic Zones (SEZs) and specified backward areas, tailored incentives to manufacturing concerns such as enhanced deduction for R&D activities, accelerated depreciation, a lower withholding tax of 5 per cent on interest payments and safe harbour provisions, to name a few. These policies complemented by a young and educated workforce are expected to bolster economic growth across the sectors.

HDFC Bank - leading the way

HDFC Bank, the leader in banking, is offering various avenues for non-resident Indians as well as foreign investors to invest in India. The Bank, with its extensive network in India and presence in overseas locations at Dubai, Bahrain, Abu Dhabi, Kenya, and Hong Kong, is poised to cater to the varied needs of investors based outside the country as well. The Bank offers a wide range of digital offerings, including remittance on the go. It offers services such as Private Banking, where an advisor regularly helps investors structure their portfolio and meet their financial objectives. This is done through NRE Fixed Deposits, NRE Recurring deposits, and Life Insurance policies which help in making the right investments for immediate as well as future financial needs. It also includes avenues such as Deposits, investments in Mutual Funds, and trading on recognised Indian stock exchanges. Thus, investors can benefit from investing in India through HDFC Bank's extensive range of products and services.