Investment Flows Should Pick Up in FY16: Arvind Subramanian

Davos: Chief Economic Advisor Arvind Subramanian has said the real investment flows should begin picking up from next fiscal year, but it will be a gradual process.

"There is a strong interest here in India based on facts that Indian economy has turned around and is looking promising going forward."

"So there is a lot of interest in India here at Davos. Besides, the global economy is also painting a kind of mixed picture and India stands out as one of the places where reforms are happening, a change is happening and there is hope that the growth would pick up.

"India is certainly one of the positive stories of the global economy," Mr Subramanian told PTI in an interview here at the annual World Economic Forum meeting.

He also said that the annual Economic Survey, to be unveiled ahead of the Union Budget later next month, will broadly focus on the challenges faced by the Indian economy and the ways to address them.

Asked whether he has finished work on the Survey, he said it was still continuing. "Broadly, we are going to talk about the challenges that are there and how we should meet them."

"The big challenges like how to revive investment and growth and provide job opportunity to everyone. Reviving investment and growth is a big challenge today," he added.

When asked about the time frame for investments to start coming in, he said, "We will have to wait, but it is not going to be something sudden."

"It will be gradual and by the next fiscal year, we should see a slow pickup and it is going to be an ongoing process, Mr Subramanian added.