Homemarket News

Insurance space, private sector banks bright spots amid slowdown, says Motilal Oswal

market | IST

Insurance space, private sector banks bright spots amid slowdown, says Motilal Oswal

'Gloom and doom' times drive stronger growth in the insurance space, said Navin Agarwal, joint MD, Motilal Oswal Financial Services, adding that growth for life and health insurance look robust going forward. According to him, private banks too, are in a bright spot.
Talking about the liquidity crisis, he said there is a lot of debate on whether the slowdown in the auto space is structural or cyclical but when one sees dealerships shutdown, it looks structural.
“The entire supply chain is engulfed in the liquidity issue and it is not just the listed companies or OEMs or branded players. So, it will take longer than most of us imagined to recover,” said Agarwal in an interview with CNBC-TV18.
There are hopes pinned on some response from the government given the pervasiveness of the slowdown which straddles so many sectors, Agarwal added.
"There were some companies pinning their hopes on the festival season and government stimulus package but by and large this seems to be a lost year in terms of volume growth for a lot of businesses and this decline in volumes could eventually feed into corporate earnings," he further mentioned.
next story

Market Movers

Currency

CompanyPriceChng%Chng