Apco liquidating trust
What is the uncertainty associated with investing in India, as seen by Amazon?Multiple guidelines on the same subject can cause delays in the resolution of uncertainty.The fintech steering committee report of the Ministry of Finance is still pending.Each of these reports is a statement about how government agencies are likely to move in the future but these are not legal instruments.Private sector investment is adversely affected by three kinds of policy uncertainty - macroeconomic uncertainty, sectoral policy uncertainty, and regulatory risk.The role of Economic Policy Uncertainty at the macroeconomic level has been measured globally (Baker et al, 2016).
Infirmities of the regulatory processes in India also exacerbates uncertainty.
Firms are deterred from investing by policy uncertainty (Bloom, 2009).
When firms are unclear about the future economic environment, they hold back on investing till uncertainty declines.
Reduced investment in India by private persons is a key part of the present growth challenge.
Investment is shaped by macroeconomic uncertainty, sectoral uncertainty, and regulatory risks that firms face.