Hoping for the best

More optimistic, mainlyly 37% because of company specific factors How optimistic are you about your company's propects this year compared to last year? How do you expect the following market indicators to behave in 2011/12? GDP growth rate Value of ? Inflation 7.5 -8 14.5 7-7.5- 41.6 74 – Greater than 8 57% 43% 31.8 9- 10 8-9- Less optimistic, primarily 27% due to external factors 36.5 Depreciate Appreciate 42.6 1.5 Lower than 7 -Greater than 10 45.3% 14.2 Lower than 8 19% Expect no change Is it a good time to take greater risks on your company's balance sheet? Political crises in the Middie East Market conditions in China Insalvency of US debt leading to uncertainty Crisis in the EurSzone others I Rank 1 I Rank 2 10 % More optimistic, mainly because of external factors If not, why not? I Rank 3 in the domestic etonomy Less optimistic, primarily due to company-specific factors Concerns How do you expect your industry to perform this year compared to last year? 20.9% 20.3% 10.8% Favourability to take risk 90% 80% 70% 60% 50% 40% 30% 20% 10% 22% YES HOPING FOR THE BEST -60% 78% 2.7% Despite the gloomy economic scenario, top CFOS remain optimistic, says a Deloitte India survey exclusive to Business Today readers 40% NO Graphic by Santosh Kushwaha -20% These are tough times for business, and understandably, most chief financial officers' appetite for risk-taking has weakened. Taxes are also a concern. Yet a sizcable number of the 300 surveyed - from a range of companies - felt that both their companies and the industries they were in would continue to perform well. Rank 1 The key taxation related challenges that you foresee in the immediate future IRank 2 IRank 3 Somewhat better Considerably better Somewhat worse No change Considerably worse Direct Taxes Code Impending Goods and Services Tax Uncertainly of tax outcomes Transfer pricing Ongoing tax litigation Impending general anti-Avoidance Rules & others