New Delhi, Aug 20 - Nearly 70 percent of Indian businesses believe that the country's economy would start recovering from the downturn by next year, with 50 percent of them planning fresh investment, according to an industry survey.

The survey, conducted by global consultancy KPMG among 850 senior business managers from 22 countries, said Indian corporates were optimistic about an economic upturn and would start pumping money into their businesses again either this year or next year.

'Indian businesses are more optimistic than the (global) average, with 70 percent expecting the recovery to begin by 2010 at the latest,' the survey said.

Moreover, the Indian businesses have learned to reduce costs and a vast majority are planning to 'radically rethink their long-term business strategy', it added.