New Delhi, Aug 29 (IANS): A significant economic recovery is expected in the corporate sector's performance during the financial year 2021-22, according to India's business leaders.

The CII CEOs poll was conducted among 117 Senior CEOs at the recent meeting of the CII National Council. Majority of the CEOs polled, about 79 per cent of them expected GDP growth to be more than 8 per cent.

"The CEOs poll clearly indicates significant recovery in corporate performance with both topline and bottom-line growth expectations to be better than the pre-pandemic levels," said Chandrajit Banerjee, Director General, CII.

The government's pro-growth initiatives and announcements have helped nurture the animal spirits of the corporate sector which has seen the worst economic shock of our lifetime, he said.

On expected revenue growth of their respective companies, 46 per cent of the CEOs expected more than 10 per cent growth in the first half of the current fiscal when compared to the first half of pre-pandemic year 2019-20.

Another 33 per cent of them said that their company's revenue growth will be up to 10 per cent during the first half of current fiscal when compared to the first half of pre-pandemic year 2019-20.

Sharing their expectations on net profit growth, 49 per cent of the senior industry leaders polled indicated more than 10 per cent net profit growth during the first half of current fiscal when compared to the first half of pre-pandemic year 2019-20. Yet another 32 per cent of them expected their companies to register up to 10 per cent growth in net profits for the first half of the current fiscal when compared to the pre-pandemic year, 2019-20.

On capacity utilisation for their respective industry sectors, about 51 per cent of the CEOs indicated at least 5 per cent to 10 per cent increase in capacity utilisation post second wave when compared to pre-Covid levels.

On their respective company's capacity utilisation, about 59 per cent of the CEOs polled said that capacity utilisation would be at least 5 per cent to 10 per cent more than the pre-pandemic levels.

When polled about fresh capacity creation in their own companies, 49 per cent of the CEOs revealed that their companies are likely to invest in fresh capacity creation this year, while 32 per cent of them indicated that their companies are likely to invest in fresh capacity creation next year.

Responding to the question on what is affecting the animal spirits of the private sector, majority of the CEOs (51 per cent) indicated that Ease of Doing Business was still cumbersome at the grassroots followed by Cost of Doing Business (other than Capital cost) being high, as indicated by 32 per cent of the CEOs.

About one-third of the CEOs indicated that current capacity is still in excess of demand.

"Given that merchandise exports have reached $131 billion during the period April to July 2021, majority of the CEOs polled indicated that Americas, including the US and Canada will post significant growth in the first half of the current fiscal year, followed by Europe, Middle East and Africa and Asia Pacific," said the CII statement.

"About 70 per cent of the CEOs polled expected inflation to be up to 6 per cent during the year 2021-22 which is within RBI's inflation range and should help RBI retain low interest rates to promote growth", Banerjee said.