'US investors optimistic about Indian economy'

Sebi Chairman U K Sinha on Tuesday said investors in the US have a high level of optimism about India, especially because of the policy initiatives in the past two years by the Modi government.

"The US investors are very enthusiastic about India and policy changes and the regulator development that has taken place in India," Sinha, who was recently on a visit to the US, told reporters in Mumbai.

"They are also very optimistic about the economy," he said. Sinha was talking on the sidelines of The Gateway of India Dialogue.

Sebi chief, who met the investors in mutual fund industry, pension funds and academic people in the US, said "compared to what was the situation two years back, today we see a lot of optimism on policy front.

“They are appreciating the positive direction in which the government has moved and clarity which has been provided in matter of law and long-term policies".

Noting that American investors had no major issues with India, Sinha said they had questions on double taxation avoidance treaty with Mauritius and measures taken by the Sebi on Participatory Notes.

"The details were given and they were assured that whatever has been thought of, has been thought of from prospective date," Sinha said.

He also said anti-money laundering regime in India is very widely appreciated all over the world.

"Investors worried about governance in India are fully assured that the regime in India is compliant with the rest of the world," Sinha said.

Photograph: Reuters