Mumbai, Dec 26 India’s equity markets soared to record highs, firmly establishing the nation with a market capitalisation of $5.29 trillion this year, which was the fourth largest market cap globally after the US, China and Japan, a report said on Thursday.
Benchmark indices Nifty and Sensex hit all-time highs of 26,277.35 and 85,978.25, respectively, this year, according to the report by Pantomath Group, a leading financial services conglomerate.
GDP growth stood at 8.2 per cent in FY24, surpassing expectations, although inflation and weak consumption slowed growth in first half of FY25.
“A rebound is anticipated, driven by government spending, private investments, and rural growth revival,” the report mentioned.
According to Madhu Lunawat, CIO and Fund Manager, Bharat Value Fund, there are many opportunities available for both domestic and global investors such as AIF, PMS, Mutual Funds, etc. for medium-term investments perspectives, to participate in India's long term growth story.
“The investor’s preference towards equity as an investment avenue based on their Risk appetite is constantly increasing in the last couple of years as compared to earlier. Such kind of sustainable fund flow from different investors is a positive sign and this liquidity will help market to support in any kind of correction or declines,” Lunawat noted.
The Indian agriculture sector is set for growth, driven by the ‘Vision 2047; roadmap that promotes sustainable farming, crop diversification (especially millets), and climate-resilient seeds.
The automobile sector grew 10 per cent to Rs. 6.14 lakh crore, with a sharp focus on EV adoption and exports projected at $30 billion by FY26, the report mentioned.
India remains committed to net-zero emissions by 2070 and 50 per cent renewable energy by 2030, supported by the National Green Hydrogen Mission and 100 per cent FDI in renewables.
“Indian corporate earnings are expected to show further improvement. The capex spending by government will lead to revival in overall GDP growth and companies benefiting from a softening in commodity prices, leading to enhanced profitability and margins,” said Devang Shah, Head Retail Research, ACMIIL.
Companies are expected to continue strong performance in the upcoming quarters, driven by a robust domestic demand environment, positive macroeconomic factors and private capex revival, Shah added.
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