India Rises as the Second-Favorite Investment Destination for Global CEOs

New Delhi: India is emerging as a preferred destination for global investments, securing the second spot among CEOs worldwide after the United States, according to a recent PwC survey. Germany and the UK also feature on the list, with China ranking fifth.

Rising Popularity Among CEOs
The survey indicates that by 2026, 13% of global CEOs plan to invest in India, up from 7% in 2025. Meanwhile, 35% of CEOs still consider the U.S. their top choice. India’s improved investment climate is credited to government reforms such as the Goods and Services Tax (GST) and Production-Linked Incentive (PLI) schemes, which have strengthened business confidence.

Tariff Concerns Remain Limited
Only 11% of CEOs see tariffs as a significant risk to their operations in India, despite the U.S. imposing up to 50% additional tariffs on certain Indian goods in the past. Many Indian exports, including pharmaceuticals and electronics, remain unaffected, although sectors like textiles, leather, and shrimp have faced challenges. Companies are now exploring alternative markets and paying closer attention to free trade agreements.

Domestic Market Optimism
A striking 77% of CEOs expect strong growth in India’s domestic market, compared to just 55% globally. About 57% of CEOs in India are confident that their companies will see higher earnings in the near future – nearly double the global average.

AI and Future Workforce
The survey also highlighted concerns about Artificial Intelligence (AI). Around 54% of CEOs in India and 49% globally believe AI could reduce junior-level jobs over the next three years. AI technologies are designed to enable machines to perform tasks traditionally done by humans.

Focus on Innovation
Indian companies are increasingly relying on innovation to drive growth. 57% of CEOs reported that their firms have entered at least one new sector over the past five years. Among the challenges, 30% of CEOs cited macro-economic volatility as the biggest risk, followed by 23% who identified cybersecurity threats.

The survey underscores India’s growing appeal as a stable and innovative environment for global investors, positioning the country as a major hub for business expansion and strategic growth.