India is expected to move three ranks up to become the fourth most favored investment destination for global companies in five years from now.
Currently, the country ranks seventh, but by 2013-14 it will only be trailing China, US and Russia, ranked in that order, according a survey by consulting firm KPMG.
Five years from now, India will see significant investment from 18 per cent of some 300 global companies that KPMG covered in its survey. Currently the number stands at 10 per cent.
In comparison, 17 per cent of the companies plan to make significant investment in China now and that proportion is projected to jump to 24 per cent by 2013-14.
The growing interest in India is likely to be sustained by the country’s prospering middle class and efforts to reduce policy hurdles and infrastructure constraints, said Russell Parera, chief executive officer, KPMG India.