Vikram Saxena

ICICI Bank: Bellwether Emerging Market Short

Rakesh:

Have you looked at the food and energy futures lately, or the level of inflation in India lately? Your predictions of the demise of the Indian Middle Class are greatly exaggerated. In spite of all the talk of outsourcing in the West, India is primarily an organic growth story; and that story will not change till the hundred of millions of poor Indians aspire to reach a standard of living close to the lower middle class. Short term asset price bubbles will occur, but in India they are much better supported both by income and demographics.