In the past few years, foreign businesses exiting India have outnumbered those entering it.
Since 2018, the number of such companies has increased constantly, with a total of 559, shared data by India’s minister of state for corporate affairs, Rao Inderjit Singh in parliament, appeared. Up to 469 entered the country during this period, where 2022 saw the lowest period.
The increase in exits in 2021 and 2022 may be due to the slowdown following the spread of the covid-19 pandemic in the country, which forced a national lockdown in 2020. labor shortagesupply-chain issues, among others problems, forcing most of these entities to end their operations.
Between 2019 and 2021, in Delhi and neighboring regions, about 40% of business owners will close shop, according to a National Council of Applied Economic Research study. Another estimate shows more than 10,000 businesses voluntarily halting operations amid the despair caused by the pandemic.
