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IXSE - India's Surprise Tax Cut Comes At An Opportune Time
WisdomTree India Ex-State-Owned Enterprises Fund
By Sukumar Rajah, Senior Managing Director, Director of Portfolio Management, Franklin Templeton Emerging Markets Equity
Amid slowing economic growth in India, the Modi government's surprise corporate tax cuts have come at an opportune time, according to Franklin Templeton Emerging Markets Equity's Sukumar Rajah. He explains why the fiscal adjustment could improve India's competitiveness among its regional peers.
India's proposed corporate tax cut, which slashes the basic rate to 22% from 30% for domestic companies, is a welcome surprise.
The meaningful reduction in corporate rates sends a strong signal to investors that the Indian government recognizes