NSE aspires to double market cap to $11 trillion in 10 years

The National Stock Exchange of India (NSE) believes that the market capitalisation of NSE-listed companies could double in the next 7-10 years by riding on the booming Indian economy, said its Chief Business Development Officer, Sriram Krishnan.

“The market cap of firms listed on NSE is about $5.5 trillion and this could well touch $11-12 trillion by 2033, when India’s GDP is expected to reach $10 trillion, Mr. Krishnan told the media.

According to him, it took almost 30 years for NSE to become the world’s fourth largest bourse in terms of market cap after U.S., China and Japan. It is now bigger than the Hong Kong stock exchange.

Along this journey ahead, NSE is looking forward to the growth of several sectors and products, including the commodities space. Sectors with dependencies on crude oil and or natural gas, such as transport, aviation, industrial power, FMCG, gas, paints and petrochemicals among others will increasingly look to hedge their commodity risks.

NSE hopes the incremental market cap would come from overall growth in terms of new listings, across SMEs and existing companies.

Asserting that the team continues to remain focused on inducting good quality companies to NSE, he said India has 1.25 lakh start-ups, 130 unicorns and 1 crore SMEs and they can all contribute to NSE’s growth.

Mr. Krishnan said in the last 30 years, NSE has helped about 3,200 companies raise $200 billion. “If we grow at a steady pace, we could see an equal number of new companies on the platform in the journey to the $10 trillion GDP,” he said.

While 97% of trade take places in equity, commodity trading is smaller in Indian bourses when compared with its peers.

NSE officials were in the city to spread awareness about commodity and derivatives trading with retail and institutional investors.

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