Singapore-based investment firm Temasek Holdings, which is in the process of re-balancing its global portfolio, is narrowing its focus within the financial services sector, to include non-banking financial services (NBFCs), insurance and stock exchanges. The firm, which said on Thursday that its global portfolio as on March 31 stood at S$193 billion ($156.3 billion), also said it sees big opportunities in India in these sectors, especially the NBFC space.
?We find immense opportunities in the NBFC space in India. There are different types of lending from this sector coming through. Financial services are going good in growing India,? said Manish Kejriwal, senior managing director, Temasek Holdings Advisors India. As much as 9% of the value of Temasek Holdings’ global portfolio comes from India.
Another area where Temasek feels India has immense opportunity is in the healthcare space. ?We are closely looking at the healthcare services space here and expect the sector to grow immensely in the next three-four years,? Kejriwal said. He sees good growth in pathology laboratories, hospitals chain segment. The company had picked up 3% in healthcare and insurance group Max India late last year.
Temasek refuses to be called a classic sovereign wealth fund and claims to have zero-barriers while investing in India. The company has invested around $5 billion in India since 2004.
Some of its major investments in India include S$280 million investment in GMR Energy and S$240 million in National Stock Exchange. Coal India, Engineers India and Essar Energy are some of its other major investments in the country.
Speaking on investment interest in India, Kejriwal said, ?Globally and within Asia, India remains one of the fastest growing economies and continues to be one of our key investment destinations. We believe in the long-term potential of the Indian economy,. owing to its strong domestic consumption, increased savings, conservative corporate balance sheets and resilient banking system.
Inflation has, however, emerged as a significant threat. The inflation in India is also structurally higher due to supply-side bottlenecks and changing consumption patterns. But even the more bearish analysts expect growth to be approximately 7.5% in March 2012. We remain cautiously optimistic on India.?