India is a great market and the 'best bet' in the global economy, said Ashok Hinduja, Chairman of Hinduja Group, in an interview with CNBC.
While the chairman foresees a recession in the world's largest economies, he is bullish on India and calls it “the very great emerging, fast moving market”.
“We see a recession coming in the US, recession coming in the UK, in Europe, problems in China, (a) problem in Southeast Asia under the fear of China-Taiwan. So, looking at the overall scene, we focus now (on) India as an emerging market,” he said.
Chairman of the Indian conglomerate also said that India is politically well settled as Prime Minister Narendra Modi has handled international relations well.
“The credit goes to our prime minister,” he said. “He has handled, in the current situation, relations with US, with Europe, with Russia, with China — though there were problems with China, but he has handled it well, it’s under control.”
Tensions between India and China sharpened in 2020 after their troops clashed on a shared border and remain strained.
Hinduja also mentioned that rising interest rates and the risk of the US recession will affect India but the impact would be somewhat limited. He pointed out that the US and European stock markets are lower this year, while Indian shares have been more resilient.
The US Federal Reserve will announce its latest decision on interest rates on Wednesday where investors expect the central bank to raise its benchmark rate by 75 basis points in its fight against inflation.