Kotak also said India needs a long-term solution to woes of public sector banks.
Uday Kotak, the executive vice chairman and managing director of Kotak Mahindra Bank, started the bank in 2003, which is now among India's top four banks in the private sector. Kotak, 59, was appointed as non-executive chairman of the beleaguered Infrastructure Leasing & Financial Services (IL&FS) by the government to resolve the crisis faced by the company.
In an exclusive interview to CNBC-TV18, Kotak said the time has come for consolidation in the non-banking financial companies (NBFCs) and he expects a significant shake-out in the sector. On banking sector, Kotak said, India need a long-term solution to public sector banking in the country.
On IL&FS crisis, he said, "We have made some progress in terms of figuring out the nature of exposures of each of these companies and has put a lot of the assets for potential resolution or monetisation."
He also talks about the volatility in the market, economy, and upcoming election, among a raft of other topics.