"Not lack of confidence... but it (GAAR) has added to some anxiety (among investors)," ICRA Chief Executive PK Choudhury told reporters on the sidelines of a programme organised by the Institute of Company Secretaries of India in Kolkata.
Referring to the probable impact of GAAR on foreign institutional investors (FIIs) in India, Choudhury said: "I do not think that funds are moving out in large scale (from the country) because of GAAR... because they (investors) are not going to concentrate on one aspect... they are concentrating on many aspects. It is a very complex issue when a fund decides to exit a country."
As the provisions of the anti-avoidance rules have hurt the business sentiment of India Inc, Finance Minister Pranab Mukherjee recently said he might modify some of the provisions.
Choudhury said the government's clarifications were not 'fully satisfactory'.