‘Pretty shielded…’: Why Temasek is betting $10 billion on India

Singaporean funding agency, Temasek, is betting massive on India. It has earmarked $10 billion funding in India by 2026-27, out of which $6 billion has already been deployed. Temasek can be assured in assembly its funding targets, because of India’s strong home consumption and resilience to geopolitical shifts.

Vishesh Shrivastav, MD of Temasek’s instructed Instances of India that India is “pretty shielded towards international geopolitical shifts and macro uncertainties on the again of sturdy home consumption”. This raises the prospects for the buyers in India, he stated.

One of many largest dangers that the agency is dealing with is geopolitics, stated Shrivastav. The agency that’s specializing in digitisation, consumption, rising lifespan (healthcare), and sustainable residing (EV) needs to construct a sturdy and resilient portfolio that’s much less impacted by shares and the place the vary of outcomes is slim.

“India is considerably distinctive within the sense that it is an economic system with few dependencies on the exterior world. It is largely a home economic system, and our portfolio displays that,” he instructed the day by day.

India accounts for 8 per cent of Temasek’s portfolio with investments in Axis Financial institution, Haldiram’s, Everlasting (previously Zomato), Lenskart and so on.

Not solely the resilience to geopolitical shifts, India additionally has a market with younger, aspirational customers and good macros.

Shrivastav stated that the ebay corporations they’ve invested in preserve compounding over a few years and there’s no purpose to exit them simply because the fund life is over. “We invested in Zomato when it was a really small firm, and it was considered one of our greatest performers,” Shrivastav stated.