Indian Economy: & nbsp; The US is expected to raise emerging markets due to changes in its economic policies. In particular, India is expected to benefit the most from this change. In a report on Wednesday (March 26), it has been told that the strong flow of foreign institutional investors (FII) in India is returning, which can see a boom in Indian markets.
MK Global Financial Services in its ‘India Strategy Report’ said that the changes in the fiscal and monetary policies of the US administration have brought a major change in the global economic situation. These changes will affect investment opportunities and guide investors to move forward with new scenarios. The report also said that there is a change in the direction of dollar assets in the US, which will give India the biggest benefit of this change.
India was described as the main beneficiary of global capital flow
Due to India’s strong economic basic infrastructure and auxiliary policy environment, the country is being seen as a prominent beneficiary of global capital flow. The report said that foreign institutional investors are likely to increase investment in Indian equity due to India’s attractive assessment and flexible economy environment. Due to this, 4.5 percent rise in Indian markets is expected to continue.
Small and mid-cap shares improve
The report advises investors to focus on domestic consumption, investment and capital goods sectors. It has also been suggested that investment in businesses dependent on American markets should be reduced. Banks and NBFCs (non-banking financial companies) are expected to lead a boom. Apart from this, the phase of improvement in small and mid-cap (SMID) shares is seen to end, which indicates further speed.
The report also states that the Trump administration is making a big change in the economic policy, which is the purpose of re -dominating American GDP and market capitalization. With this change & nbsp; The flow of capital from America is likely to be towards India. India can now take advantage of this situation and attract foreign investment which will benefit from weak dollars and falling bond yields.
