In India the government has had a rich democratic tradition since the country's independence. As such, a system of coalition government, in tandem with the central government of India has ensured relative stability in governance. .
When it comes to political risks, India comes across as highly stable within the greater sub continental region, fraught with turmoil. The country is the world's biggest democracy and its rich democratic tradition has held strong since its independence. However, the legal landscape in the country is highly uncertain, governed by a coalition of smaller, regional parties, the legislative process moves slowly. Liberalization has come through at a very gradual pace, however, in recent years; US companies like Starbucks, Walmart, McDonald's, KFC etc. have all entered the retail sphere. Tech companies like IBM, Microsoft, Apple, Google etc. have been operating in India for over some time. Regulatory risks are perhaps the most pronounced. This can be attributed to an aging bureaucracy and temporal shifts in policy.
Exchange & Repatriation.
The country has been ranked as the third largest economy in terms of purchasing power parity, and as such, the Indian currency, the rupee is highly stabilized against the US dollar. While depreciation in the value of rupee has been a persistent concern, such trends are usually concentrated to a period of a few weeks every decade. The exchange and repatriation systems are well oiled owing to the number of foreign firms already in operation, and the diaspora all over the world.
In recent years, the Indian government has actively sought foreign direct investments to boost a slowing rate of growth. The government allows for foreign accounts to be maintained in the US dollar, attracting a growth rate of over 6%. Deposits are also insured by the Indian version of the Fed (the Reserve Bank of India). Numerous methods for repatriation exist, including the common international wire transfer, Western Union, international cheques etc.
