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Urban India on Brink: P&G HHC Keeps Cautious Optimism Amid Financial Challenges

KOLKATA, DEC[MBR] 28, 2023 - Procter & Gamble Hygiene and Health Care (PGHHC), a leading consumer goods company in India, has expressed its concerns about the financial situation of urban India against the backdrop of its investor day presentation.

The market research revealed that rural India is rebounding from a slump in demand, largely due to improved monsoons and higher wages in rural areas. This positive trend was observed despite an overall slowdown in overall growth in India's economy.

However, PGHHC stated that urban India, where most of its sales come from, is struggling with financial difficulties. The company attributed the same factors for urban India's poor performance, including better income tax collections and foreign exchange reserves which are at favorable levels.

"We remain cautiously optimistic about our prospects going ahead due to steady government and private investment along with continued healthy growth in tax collection and foreign reserve," explained Dr Alok Saxena CEO PGHHC stated.

As economic signs continue to indicate tax collections rising, investors worldwide have taken a cautious stance towards rural India.