– By Navneet Munot
The world stands at the cusp of an investment cycle – out of compulsion. A polarising world bulking up defense budgets and a shift in supply-chains, climate change prompting overhaul of existing systems, and AI adoption rewiring everything. Pager attack sends a reaffirming message for localisation. When disruptions strike, the world rebuilds—bigger, broader, and, hopefully, smarter.
It’s in the darkness of existential threats and crippling compulsions that latent talent of mankind transforms into ideas and inventions. India hit its economic nadir in 1991 when it mortgaged gold reserves. In the heat of that embarrassment, an economy of entrepreneurs was born. In its boyhood, we saw the rise of IT services, in its adolescence we saw a wave of e-commerce in all hues becoming unicorns. As the adolescent comes of age, we now see an early wave of Deep-Tech startups. India’s home to over 3000 deep-tech startups fueled by daring minds and daring money. Likes of Agnikul and GalaxEye aim for the stars with innovative satellites and start-up swagger. In the shadows of the advanced Harappan civilisation of yore, Tata Electronics is building a semiconductor fab in Dholera. String Bio converting methane into speciality chemicals employing engineered microbes. Pandorum building platforms to manufacture personalised ‘homo-chippiens’ and human organs on demand. Many will fail, but what will last is the wave of impact, solving challenges and re-defining life.
Indian mathematicians gave mankind the concept of zero – Imagine computing without it. The ‘quantum’ impact of Indian deeptech in the years ahead will be a true tribute to Aryabhatta.
Standing ovation to the ‘New Age of Indian Deep Tech’, my Person of the Year 2024.
Like every year there were many contenders.
A Lone Musk(eteer) stole the show. Now poised to bull-DOGE government inefficiency with a sharp aXe. Trumpian tower’s cabinet is a republic of billionaires and hawks. Bye-bye Multilateralism, Buy-buy Mercantilism. Biden, Kamala and company delivered decent: Infrastructure, growth, jobs and a mega stock market rally. But couldn’t construct a MAGA-grade narrative.
Yes, what kept us captivated in 2024 is the dance of democracy. Elections everywhere. Almost. Left-leaning promises, right-wing resurgence, centrist bargains, and everything in between. No matter where you stand, people’s voice remains the most unpredictable political force.
Zelensky braces as Trump’s return threatens funding cuts and potentially cripples Ukraine’s fight against Russia. Russia tightened its grip on the mineral-rich and fertile east, while Ukraine faces the colossal task of post-war reconstruction. Navalny’s death in prison cast a dark shadow while Russian influence looms over Georgia’s political future.
China’s ageing population and the 3 I’s—Inflation, Interest rates, and Imports—signal a slow march toward Japanification. Bears reined in the unpredictable economic jungle until Xi’s played his checkers: coercing institutions into stocks, introducing fiscal stimulus, loosening monetary policy, and unveiling a property package. The mix, alongwith valuation discounts, lured reluctant Bulls into the China shop.
India progresses on PAN (Ports, Airports, Networking) and RRR (Railways, Roads, Renewables). DigitalYatra dazzles. What’s the next big act? Social infrastructure ready for its close-up – improving lives systematically for Laapataa Ladies and 12th Fail. Let’s prepare for the Post-AI world reshaping jobs and livelihoods.
We bid TATA to Apro Ratan, the real jewel of India. He was the tallest, literally and figuratively. We remember Narayan Vaghul, the institution builder, Fali Nariman, the legal luminary, Shyam Benegal, fabled filmmaker and Bibek Debroy, the gifted Deb. Maestro Zakir Hussain, Pankaj Udhas and Ameen Sayani leave a silence that echoes.
India’s Atma Nirbharta in capital flows got firmed. SIPs tested on dips. Earnings revival and valuation correction could make foreigners FPI : Fiercely Positive on India. Defense and Railway stocks had a bullet run. Promoters – MNCs, Indians, PE, VC – raked it in a record IPO year. Hyundai took a generous slice of the pie. SME IPOs were as hot as Coldplay concerts. F&O traders splurge money on Jane street.
Big Tech echoes the imperialism of the Industrial era: monarchs chased land and labor for resources, tech giants chase our time and attention – the ultimate asset. Imperialist enslaved hands; tech imperialism seeks to capture minds. Stark similarities in strategies too. Two distinctions offer hope it won’t go as far: democratic institutions have the power to regulate these empires, and today’s tech “monarchs” answerable to many stakeholders, not dynasties.
Climate change turned up the heat—literally. 2024 broke the record as the hottest year. From Rio’s G20 to Baku’s COP, leaders scrambled to ‘zero in on Net Zero’, while carbon markets and renewables pledges gained steam. Mark my message: complacency on climate change is existentially expensive.
(Navneet Munot is the MD & CEO at HDFC AMC Ltd.)
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