India is well positioned to achieve a gross domestic product (GDP) growth of 9-10% even as the global economy slows down, says veteran banker Uday Kotak. His statement came during the India Today Mumbai Conclave 2023 on Wednesday.
Kotak, who recently stepped down from his position as the managing director and chief executive officer of Kotak Mahindra Bank, said that India is extremely well-positioned to achieve higher growth, amid the ongoing geopolitical and economic shift of powers.
India’s GDP grew 7.2% in 2022-23(April-March), as against 9.1% expansion in 2021-22. Recently, NITI Aayog Executive Vice Chairman Rajiv Kumar said that India will clock a GDP of 6.5% in the current financial year.
Kotak explained that India has managed to keep its economy steady, supported by a robust financial system, accommodating policies and geopolitical positioning, at a time when formidable economies like China and US are facing a slump in the wake of a global slowdown.
“It’s a very important opportunity for India to grab it and grow at 9-10%, not 6% as we are,” Kotak said, citing cracks in the Chinese economy.
But, he highlighted that India can only take growth to the “next level” by having the right policies, and the right execution.
“India can do its own way over the next 10-20 years, go for 9-10% growth, unleash Indian entrepreneurship, have great guardrails for fair completion and encourage free and fair markets with enterprise to transform India..,” Kotak said.
Kotak also spoke on a wide range of subjects, including ways to boost private investment, the role of the competition commission’s role in creating a level playing field for more companies to grow, the Reserve Bank of India’s (RBI) role in strengthening the economy and banking sector, and the role of artificial intelligence in transforming the future.
He also opened up on what he plans to do next after spending nearly four decades shaping Kotak Mahindra Bank.
“I have been doing this for 38 years and there comes a time to take a view and sit back. For a founder, it’s normally difficult to say I give up. But life has a lot more opportunities. I am going back to having a plain white canvas so I can paint the future the way I feel like,” he said.