Thanks to the tag of fastest growing economy in the world, India has come third in EY's list of most attractive investment destinations for technology transactions, after the US and the UK.
EY recently came out with a report called the 14th biannual Global Capital Confidence Barometer (CCB) - Technology report, which was based on a survey covering 182 senior-level technology executives around the world.
As per the report, the US, the UK, India, China and Germany are the top five destinations for technology investment.
The report said that the current global economic scenario has forced companies to revise their strategies so that they can increase their revenues and protect their earnings.
"While 84% of tech executives see a stable or modestly improving economy, there has been a 38-point drop (to 1%) in those projecting strong improvement only six months ago. Economic and political instability, including the impact of the strong US dollar and weak oil prices, have tempered optimism," it said.
As per EY, the first quarter of 2016 saw a 2% rise in the volume of technology deals as compared to a year ago.
A shift towards shared infrastructure is the global trend these days, and India benefits from it since it is the main area of investments here, as told to ET by Ashish Basil, partner - transaction advisory services, EY India.
"India's reputation as an IT and IT-enabled services powerhouse has received a great impetus with the heightened velocity of the global digital transformation," he said.
"India's domestic technology markis picking up and there's a marked improvement in our investment climate."
Other than this, cloud computing has recently emerged as an attractive bet, and investments in this infrastructure in India has touched $1 billion because of major players placing their bets in India.
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