Just what's going on in my life. For more about me, visit my website www.AnuragJain.com
Contact me
(Calls/SMS' welcome, but I won't reply to SMS')
# Yahoo Messenger
#
ajain@iimb.ernet.in
# anuragkjain
@yahoo.com
# +91-9886178995
(Online
24 hrs but may not be on machine all the time. You can be assured of a
response, though!)
Aviation Blogs
- Aviation India
- Devesh Agarwal
- Kapil Bhargava
Blogs I know
- AlbumOfTheMoment
- Alternative
Perspective
- Anand Sridharan
- Anuradha Goyal
- Anurag Gupta
- Aqua
- Desi Bridget Jones
- Dream Reem
- Emergic
- Gary
- Google Blog
- IS Research
- Oneirodynic
- Life in a HOV Lane
- Nirantar
- Pankaj Bagri
- PhDweblogs
- Prof Sadagopan
- Rajeev Sharma
- Radio Monitors
India
- RecordBrother
- Requiem for a
Dream
- Retail India
Business News
- Research Blogs
- Rojnamcha
- Scopitones
- Sling Inc.
- Slowread
- TheBuckStopsHere
- The Startup Journey
- VC Circle
- Venture Intelligence
IIMB Blogs
- Aadisht Khanna
- Amit Gandhi
- Aragorn (Nikhil
Gurjar)
- Deepak Devarajan
- Elysia
- IIM-B Thinks...
- Illusionaire (Kima)
- Gautam Srivastava
- Guhan
-
Manu Bharadwaj
- Meenakshi Shankar
- Nikhil Ramesh
- PGSM Blog
- Pradeep Shastry
- Sridhar Raman
- Sudheer Narayan
- Sumit Mittal
- Twisted Shout
(IIMB's Blog)
- Varathkanth
- Vinod ChikkaReddy
- Viswanathan RJ
RSS Feed:
1) Official Atom XML Feed
2) 
Powered by
RSSify at WCC
Archives
*October 2002
*November 2002
*December 2002
*January 2003
*February 2003
*April 2003
*May 2003
*June 2003
*July 2003
*August 2003
*September 2003
*October 2003
*November 2003
*December 2003
*March 2004
*April 2004
*May 2004
*June 2004
*July 2004
*August 2004
*September 2004
*October 2004
*November 2004
*December 2004
*January 2005
*February 2005
*March 2005
*April 2005
*May 2005
*June 2005
*July 2005
*August 2005
*September 2005
*October 2005
*November 2005
*December 2005
*January 2006
*February 2006
*May 2006
*June 2006
*July 2006
*August 2006
*September 2006
*October 2006
*November 2006
*December 2006
*January 2007
*February 2007
*March 2007
*April 2007
*May 2007
*June 2007
*July 2007
*August 2007
*September 2007
*October 2007
*April 2008
*May 2008
*June 2008
*July 2008
*August 2008
*September 2008
*October 2008
*November 2008
*December 2008
*January 2009
*February 2009
*August 2022
![[Powered by Blogger]](http://buttons.blogger.com/bloggerbutton1.gif){kind=small}
Blog Keywords:
Bangalore
IIM Bangalore
IIMB
Cultural Events
Management Education
Entrepreneurship
B-Schools
India
According to a McKinsey report - Mapping the Global Capital Markets - world's fiancial assets have risen to $118 trillion in 2003 from a 'paltry' $12 trillion in 1980.
The financial assets of an economy broadly consist bank deposits, equity securities, government debt securities, and corporate debt securities. Financial depth, the number of times financial stock is to the economy's GDP, of Indian economy is 1.4. That makes India quite a liquid economy, but much lower than the depth of world's level (3.26).
The interesting observation for India would be that even though the debt component of financial assets is the one that's the poster child of this 12-to-118 $trillion growth story, India registers rather low growth on debt securities (government and corporate)! India's financial stock of $1 trillion consists of 45% Bank Deposits, 32% Equity Securities, 22% Government Debt Securities, and a miniscule 1% Corporate Debt Securities.
This 1% of corporate debt is explained by 0% growth in corporate debt securities during 1993-2003! Why is that so? Why are the Corporate Debt bonds not picking up in India? Two reasons come to my mind: a) Debt is relatively (to equity) more expensive to raise in India than anywhere else. b) Pending financial market reforms.
This deviation raises two curiosities too: Is it just a structural anamoly resulted by the years of market reforms negligence? Or, are there opportunities for entrepreneuers here (entrepreneurs outside the companies raising debt, of couse)?
0 comments
Comments: Post a Comment