Recovery happening at faster pace

New Delhi: The impact of demonetisation seems to have ebbed at much faster pace than earlier anticipated, according to Ficci’s business confidence survey.

“With remonetisation of the economy at a much advanced stage, things seemed to be turning normal for the corporate sector,” said the chamber.

In the Ficci survey, the chamber said confidence level has seen a rebound, touching an eight-quarter high, against a drop seen in the previous survey wherein confidence was hit due to a demand squeeze caused by demonetisation.

“Participating firms reported an improvement in the current conditions and performance level as well as expressed hope of a better turn-out in the coming six months. This could be a harbinger for better economic growth in the current year —signs of which are on the anvil — and about which the government also is becoming increasingly confident,” said the chamber.

Ficci said that the results show that nearly 54 per cent of the participants feel that current economic conditions are ‘moderately to substantially better’ compared to the previous six months.