India's FM Flags Excess Liquidity & Foreign Outflows as Key Risks for Equity Market Underperformance

In this article

Excess liquidity in India’s equity market has contributed to underperformance and may continue to do so, according to Finance Minister Nirmala Sitharaman.

“Because of the ease of liquidity, ease of availability, people are even exiting easily” from equities, Sitharaman told CNBC in an exclusive interview on the sidelines of the IMF-World Bank meetings in Bangkok on Friday. However, the fundamentals of the Indian economy are “fine,” she said.

Since January, India’s key benchmar