CII Business Confidence Index Reaches Five-Quarter High Amid Robust Domestic Demand

CII's Business Confidence Index soared to 66.5 in Q3 FY26, attributed to strong demand, profitability, and investment conditions. The industry survey indicates optimism, with crucial reforms boosting growth prospects. CII's strategic recommendations aim to enhance infrastructure, innovation, and global trade integration, solidifying India's economic leadership amid global uncertainties.

CII's Business Confidence Index has surged to a five-quarter high, reaching 66.5 in Q3 FY26, as revealed in a report released by the industry lobby. This rise marks the third consecutive quarter of improvement, driven by optimism around domestic demand, profitability, and investment conditions.

The index, based on a wide-ranging survey of over 175 firms, underscores the pivotal role of domestic demand, with two-thirds of the surveyed companies reporting increased demand in Q2 FY26. Additionally, 72 percent expect this upward trend to continue into Q3 FY26, bolstered by GST rate cuts and festive consumption.

CII is advocating for sustained momentum in reforms, suggesting a revitalised Rs 150-lakh crore National Infrastructure Pipeline and strategic funding mechanisms to elevate India's long-term competitiveness. The recommendations also emphasize the creation of advanced learning centers, trade enhancements, and strengthening the financial sector to secure India's economic future amid global challenges.

(With inputs from agencies.)