Manishi Raychaudhuri, Asia Pacific equity strategist, said believes that liquidity remains a key problem for NBFCs and he expects it to continue for a while
BNP Paribas on Friday said consumer lending focused non-banking finance companies (NBFCs) present a good buying opportunity for long-term investors.
In an interview to CNBC-TV18, Manishi Raychaudhuri, Asia Pacific equity strategist, said the correction in the market is not just India specific as it's pervasive across emerging markets.
Raychaudhuri believes that liquidity remains a key problem for NBFCs and he expects it to continue for a while.
He said pure consumer lending focused NBFCs were punished unjustifiably by the market.
“We have long held that in Asian equities, calmness or stabilisation in the currency market is a prerequisite for stabilisation of the equity market and we are beginning to see signs of that," he added.
"However in India, we must keep in mind that we are entering a politically busy season in November till early December. So, there could be some politics induced volatility in the market and that is just pure local. However, many of the global drivers are possibly turning slightly better,” Raychaudhuri said.On banks, Raychaudhuri said he continues to be focused on retail lending private sector banks.