The high cost of credit is being cited by Indian investors and business people for their lowest near-term level of confidence in their economy for over four years.
A survey by the Indian Chamber of Commerce in July and August found that 67% of those polled do not intend to make any new investment or hiring in the next six months, and noted continued weak demand for their products.
The high cost of borrowing was reported as a major concern by 72% of respondents, up from 57% in the last survey. The Chamber of Commerce said this is the lowest level of confidence seen in almost 17 quarters.
