Deepak Parekh, chairman of HDFC, has been part of the financial sector for over four decades and has been the voice of reform. Having interacted with international investors over business cycles, Parekh has a good idea of the opportunities and risks that India faces because of global factors. In an interview with TOI, Parekh speaks of what needs to be done to ride the energy turmoil arising out of the war in Ukraine…
You have seen many economic cycles and disruptions. How do you view the current market turmoil and its impact on India?
As far as the current stock market turmoil is concerned, I think India has borne the unintended consequence of being a well-performing, growth-oriented market. While emerging market (EM) outflows had begun following the Fed’s signaling of raising interest rates, the Russia-Ukraine crisis intensified the outflows. Certainly, geopolitics creates risk averseness, which is par for the course for all equity markets.
