Chris Wood of CLSA is betting on the re-election of Narendra Modi as the prime minister of the country in the upcoming Lok Sabha polls.
Chris Wood of CLSA is betting on the re-election of Narendra Modi as the prime minister of the country in the upcoming Lok Sabha polls. Highly bullish on India’s prospects, Chris Wood told ET Now. “…Based on my base case that Modi government gets re-elected next year but with a reduced majority, that we get evidence of a capex cycle, I would be looking to raise my ratings early next year.”
He also mentioned that for the first eight months of 2018, India was performing better than expected. But the recent defaults by a AAA rated company led to the downside, Chris Wood said referring to the IL&FS crisis.
On the political landscape of India, the CLSA chief said that state elections won’t tell much about the 2019 polls and that the picture will be cleared by the first quarter (Jan-March) of the next year. Chris Wood has been a long time supporter of the Narendra Modi government and its policies.
Earlier, he had said that if Narendra Modi fails to come back to power, India’s economic growth will take a beating. Calling the prime minister “formidable”, he had said that India’s story would be damaged.