India still hot investment hub: Deloitte

Source: Business Standard via Indian Economic Business News

India remains an attractive investment destination, even as taxation uncertainties pose a challenge, according to global consultancy Deloitte. “While India continues to be an attractive investment destination, the dynamic Indian tax framework creates some apprehensions in the investors’ perception about the approach on the tax issues related to transactions in India,” said a survey of investors, spread across various segments, conducted by Deloitte. “Around 63 per cent of those questioned consider Singapore to be a favourable jurisdiction for investments into India,” said the survey, adding 53 per cent consider uncertainties in the tax position as a significant challenge for doing business in India. Also, about 80 per cent of the participants indicated there should be rationalisation in India’s corporate tax rates in the range of 20 to 30 per cent. The survey suggested there was a need for a robust tax policy and an equally strong tax litigation process or an effective dispute resolution mechanism, to reinforce a stronger faith from multinational investors. It said investors believe India had an effective tax credit mechanism, which helped in reducing the overall tax burden, though there was room for improvement.

Deloitte hires

Source: CyberMediaNews, Mumbai, March 2011

Indian IT Industry is on a hiring spree. IT Consulting firm Deloitte would be hiring an 2.25 lakh candidates in 2011. With this addition, the total number of employees working in the IT/ITeS sector in India would grow to 22.3 lakh in 2011. As per the predictions for 2011, IT outsourcing industry and business processes will reach US $ 71.7 Billion for 2011, which would account to 5.8% of the country’s GDP.

“This would be the starting point of active participation between telecom service providers and various industries including IT, Media, Banking, Healthcare and Education in reaching and offering services for the empowerment of rural India”, predicts Mr Jolyon Barker, Global Leader Deloitte’s TMT,2011.

Quoting a spokesperson from Deloitte, “The advantage for customers from MNP would be better quality of service, lesser call drops, better infrastructures and an increase in loyalty programs and customer retention marketing techniques. Operators offering 3G services would have an edge with the introduction of MNP as not all operators have won the auctioned 3G spectrum.”