Private investment will pick up in a year: Munjal

Hyderabad: Claiming that the economy was on a recovery path, Hero Enterprises Chairman Sunil Kant Munjal expressed optimism that private investment would pick up in the country in a year or so. “Recovery trends are clearly visible in the economy.

Therefore, there is every chance of consumption picking up next year. Private investments will come in once consumption levels go up,” Munjal told the media here on Friday. Private investment has hit historic lows in the country, leading to fall in GDP growth.

Describing note ban and the implementation of GST as structural changes in the economy, he said though there may be short time hiccups, such steps would yield results in the long run. "Structural changes will take six months to two years’ time to show results.

There may be some short term (hiccups). As I said, next year, if the government continues with the pace of forward looking reforms and does electioneering campaign for polls in balance, then I don't see any risk to our potential for growth," he observed.

He said though demonetisation was a ‘fantastic idea’, its implementation could have been taken up differently. "The most vulnerable suffered the most. But the benefits have already started showing up," he said. According to him, the generation of black money has dramatically come down.

Munjal was in the city to participate in a discussion, titled 'India @75: Is this the New India?', organised by Mindmine Institute, an independent think-tank set up by Hero Enterprises.