Veteran banker Uday Kotak has said India's growth cannot be dependent on a few companies or groups and pitched for a more broad-based approach where many entities grow.
Kotak, the founder and non-executive director of Kotak Mahindra Bank, has said while the Indian economy presents a great picture from the 'macro' perspective, companies are facing challenges when looked at from the 'micro' side.
In a video message to investors ahead of Diwali, Kotak has also said that Indian companies need to be focusing more on competition rather than protection.
It can be noted that in the past, many leading figures including former chief economic adviser Arvind Subramanian as well, have flagged concerns around just a few groups leading the way in the corporate sector.
"The growth of the Indian economy cannot be dependent only on a few large companies and groups, but should be spread across the length and breadth of the country," Kotak said.
The capital markets can ensure that the adage of letting a thousand flowers bloom can become a reality by helping the companies, he added.
Kotak said that the last year has been a great year for the Indian equity and financial markets, and investors have been handsomely rewarded.
However, investors need to be ready for the ups and downs, Kotak said, adding that he is 'cautiously optimistic' about the future, especially given the deteriorating geopolitics.
Kotak advised that India needs to keep an eye on inflation, fiscal math and also current account deficit, and added that all the aspects are under control right now.
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