Ahead of the Lok Sabha elections, financial analysts perceive political instability as the biggest risk for India, followed by economic weakness, impact of oil price shocks and unwinding of monetary stimulus by central banks, according to the global survey conducted by the CFA Institute.
Although India?s GDP growth rate has touched a decade?s low of 4.6% in April-September, which is almost half of 9.3% recorded in 2010-11, most analysts expect growth to pick up during 2013-14.
?In India, optimism about the global economy has grown significantly with 56% predicting an expansion, up from 38% a year ago. Indian members are even more upbeat about their local market. Six in 10 respondents here expect India?s economy to expand in 2014,? said the CFA Institute?s Global Market Sentiment Survey for 2014.
About 78% of respondents in India view political instability as the biggest risk in 2014 as compared with 60% last year, the survey went on to say.
