Uday Kotak, MD& CEO, Kotak Mahindra Bank, in gossip with Nikunj Dalmia of ET NOW at the Times Network India Economic Conclave 2021. During the last India Economic Conclave( IEC ), you had said that India needs banks but it needs few PSU banks, it needs adaptation of fintech and it needs consolidation in the sector. I guess you knew what was happening because that indeed is happening one year after our interaction? I do believe that India has built very serious progress in this pandemic age and actually comprehended the opportunity of what we need to do. Therefore the financial sector is in for a major change. The government’s move of testing out with two public sphere banks is first of its nature and this combined with the fact that over experience you will have four or five massive state owned banks and private sector companies banks and at the same time opening up competition in the sector is the right way to go. At the same time, we need to be clear that in the last one year, Covid has changed our lives in the field of technology and financial services by a multiplier of five. What ought to have been otherwise taken us five years is happening in one year. That is what we are going to be ready for. During the course of 2020 every time we interacted with you on many meetings your words were: “India Inc has been hit. It is like a ship which is now trapped in obscure waters.” Is the challenging occasion behind us? Has the ship reached the shore? Covid has created a new list of what I call as haves and has not been able to. The people who have had access to capital are in the category of haves and that is primarily the organised area or corporations which have access to public marketplaces as also private equity and the have nots are the ones who did not have access to capital. There is a exceedingly stark difference between the haves and the have nots, based on access to capital. Therefore, even if you are from a emphasized sector, if you have access to capital you are in good shape. If you do not have access to capital, you are in a tougher rank and that is the difference which we have witness happen in front of us. That is as a result of stunning pour of fund and liquidity globally and in India as well. That has enabled equity capital to rescue most of the organised area. The expansive treatise from India Inc is one of highest-ever perimeters, strongest requirement visibility and high-pitched confidence. A years ago, there was fear, gloom and doom on the Street. How does one differentiate the kind of indications which we are getting from India Inc .? Are these permanent or are there spurts of ask like carbohydrate rushing? One year ago we did not know what made us, we had no idea of the contours of the Covid impact. Today one year later, we seem to understand the virus a little better though it continues to mutate. At the same time, there is greater optimism on the possibility of vaccination of a lot of our parties though I think it is going to take a few months more for us to get to a more pleasant plaza. At the same time, we have started being able to deal with this virus in terms of our lives, what we can do, what we cannot do. We have adapted our life to the brand-new reality. All these are the pluses and that is one of the reasons why business and industry feels they are in a better place than what it was one year ago. Having said that, things will need to be better administered on the virus and vaccination moving forward but we have to be careful of a mindset of self-complacency. The virus has not gone one year later. It is still around and we feel more comfy with it. But the virus is mutating and therefore I is necessarily be looking with hope because we are seeing a reformed world-wide. But I stop my ward up. I would not lower my picket too soon and make this more a marathon rather than a sprint.
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