New Delhi, June 4
Due to strong GDP growth and policy continuity, registration of companies and limited liability partnerships (LLPs) in the country surged by up to 37 per cent in May.
According to latest government data, registration of companies increased by 29 per cent and LLPs by 37 per cent on year-on-year basis in May.
Data released by the Ministry of Corporate Affairs said that 20,720 companies, including overseas units, were registered in May, up from 16,081 in the same period a year ago.
This was the fifth consecutive month when registration of companies has gone up.
About 7,487 LLPs were registered in May. Last year, the number was 5,464.
The GDP growth accelerated to a robust 7.4 per cent in the fourth quarter of 2024-25, as result of which the growth rate for the full financial year works out to 6.5 per cent on the back of a strong performance of the agriculture, construction, and services sectors.
The International Monetary Fund (IMF) has forecast India to be the only economy that is expected to clock an over 6 per cent growth rate in 2025-26, as the US tariff turmoil is expected to disrupt world trade and slow down the growth of the global economy.
India continues to defy the global slowdown, the OECD's latest 'Economic Outlook' said this week, projecting the country's economy to grow by 6.3 per cent in 2025 and 6.4 per cent in 2026.
Strong domestic demand, resilient services and manufacturing sectors, and ongoing infrastructure investments have been cited as key drivers for India’s strong performance amid global uncertainties.
According to analysts, India’s better-than-expected GDP growth in Q4 FY25 at 7.4 per cent is an indicator that growth is rebounding which can lead to revival of corporate earnings in FY26, and foreign institutional investors (FIIs) are likely to continue their investment in India.
The RBI's credit policy on interest rates decision on Friday will be keenly watched as any further cut in policy rates would keep markets in good stead in the medium term.
— IANS
Reader Comments
This is excellent news! The 37% jump in LLP registrations shows small businesses are thriving. Make in India is working on ground level. Hope RBI cuts rates tomorrow to give further boost to startups. 🇮🇳
While the numbers look good, I hope the government ensures proper monitoring of these new companies. Last year we saw many shell companies being formed just for tax benefits. Growth should be quality growth.
As a CA practicing in Mumbai, I can confirm the surge in registrations. Most are genuine entrepreneurs - young people starting digital businesses, food processing units, and EV-related ventures. India's startup ecosystem is maturing well.
Good to see GDP growth holding steady at 7.4%! But I hope this translates to more jobs for middle class. My son completed MBA last year and still struggling to find decent package. Corporate growth should mean job growth too.
The numbers are impressive but let's not forget the regional disparities. Most registrations are from 5-6 states only. Government should focus on spreading entrepreneurship culture to eastern and northeastern states too. #balancedgrowth
Started my organic snacks LLP last month! The process was surprisingly smooth on MCA portal. If this growth continues, India can truly become $5 trillion economy before 2030. Fingers crossed for RBI rate cut 🤞
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