Money will chase emerging markets & India in particular, says ICICI Bank's Prasanna

“Last year, this time around, the first half borrowing was lower; they ended up borrowing around 50 percent of the overall gross borrowing number for the last year. So this year the expectation is not higher than 60 percent, anything at 60 or lower, the market has priced in and anything higher than that would be taken little negatively,” he said.

Talking about global markets, Prasanna said, “As the US growth tapers off but doesn’t go into recession but at the same time the forward-looking rate hikes have gone away and forward-looking rate cuts have come in, so it’s like having the best of both world; you have a decent growth scenario in the US and a lot of liquidity availability because of quantitative tightening getting reversed as well as rate cuts happening. So liquidity is going to be abundant in the global markets and within the global market space money will chase the emerging market (EM) space and within the EM space it will come to the shores of India.”