IBEF: June 07, 2016
Singapore: India climbs 13 positions from 2015 to rank second on the Global Retail Development (GRD) Index 2016, which ranks top 30 developing countries based on ease of doing business. Clarity regarding foreign direct investment (FDI) regulations and a pick-up in gross domestic product (GDP) growth have helped India achieve the second spot. Mr Debashish Mukherjee, a partner with A T Kearney and co-head of the Consumer Industries & Retail Products Practice for India and Southeast Asia, has stated that India's strong ranking reflects foreign retailers increased optimism in its retail market and vast growth potential as several key FDI regulations in single-brand retail have paved the way for multinational firms to enter the Indian market. Retail sector in India has expanded at a compound annual growth rate (CAGR) of 8.8 per cent between 2013 and 2015, with annual sales crossing the US$ 1 trillion mark, as per A T Kearney, a London-based business consultancy. India also has the second largest internet market in the world, and with increased smartphone penetration in the country, there has been rapid growth in e-commerce sector, which is expected to propel India's growth and make it a more attractive proposition in years to come.
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