Mukesh Ambani Says India Slowdown Temporary, Government Reforms To Help Reverse Downturn
India’s GDP growth currently stands at a six-year-low, forcing the government to announce reforms such as the corporate tax cuts.
India is facing a “temporary” slowdown and the recent measures by the government will help reverse the downturn in the coming quarters, said Mukesh Ambani, chairman and managing director at Reliance Industries Ltd., on Tuesday.
“If you look at what happened, yes there has been a slight slowdown but in my own view it is temporary,” Asia’s richest man said at the Future Investment Initiative Summit in Saudi Arabia. “All the reform measures taken in the last few months will see the outcome and I’m quite sure, in the coming quarters, this (slowdown) will reverse.”
His comment comes even as India’s GDP grew at its slowest pace in six years in the quarter ended June, also reflected in private final consumption expenditure as Indians cut spending on everything from biscuits and shampoos to appliances and cars. That forced the government to announce a slew of measures, including corporate tax cuts, to revive the economy.
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Globally too, Ambani said, countries are facing certain “uncertainties”, mainly stemming from technological disruptions such as Artificial Intelligence, robotics and drones. “While it brings uncertainty, it also brings in a tremendous opportunity that humans have never seen before.”
Watch | Mukesh Ambani On India Slowdown