59% of German companies plan to invest in India in 2024 due to political stability, skilled workforce, and low labor costs.
59% of German companies plan to make new investments in India during 2024, driven by factors like political stability, skilled workforce, and low labor costs. The survey by KPMG in Germany and the Indo-German Chamber of Commerce (AHK India) revealed that 78% of respondents expect rising sales and 55% expect increasing profits this year, showcasing a 7% increase against the previous year. The top three location factors making India attractive are low labor costs (54%), political stability (53%), and qualified specialists (47%). Additionally, 45% of German companies aim to use India as a production location for both the local and Asian markets by 2029, while 69% appreciate India's steady economic growth, comparing favorably against the weakening economy in China.