In a timely boost amid market jitters, a top SEBI figure has called the recent plunge in Indian stocks a ‘fantastic investment opportunity’ for overseas buyers. Kamlesh Chandra Varshney, ex-whole-time member at India’s market regulator, made the remarks at an NSE-organized Russia-India investment dialogue.
The catalyst? Surging Middle East tensions that prompted a more-than-8% drop in key indices this month. While sentiment has taken a hit, Varshney argues this has reset valuations to mouthwatering levels, especially enticing for Foreign Portfolio Investors (FPIs).
“Foreign investors now face an exceptionally attractive entry point into Indian equities,” he stated, positioning India as a resilient haven in turbulent times.
Turning to bilateral ties, Varshney spotlighted efforts to ease Russian participation. SEBI is tackling regulatory clarity and tech glitches to make India more investor-friendly. Twenty-three Russian institutions already hold FPI status, actively investing across asset classes.
Russian conglomerates have additional avenues: spinning off India-based subsidiaries and tapping IPO markets for funding. Intriguingly, these local arms often outvalue their Russian headquarters, drawing capital flows.
Tech upgrades are on the horizon too. SEBI’s push for innovative platforms will slash costs and barriers, amplifying global inflows.
Forum co-panelist Shriram Krishnan from NSE pitched GIFT City as a game-changer. Russian firms could list there, and banks establish footprints, leveraging its world-class infrastructure.
Varshney’s outlook cuts through the noise of recent declines, framing them as setups for substantial gains. With policy support aligning, India’s markets stand poised to rebound stronger, captivating discerning international capital.