India emerging as 'Standalone Investment Destination', says CareEdge MD at Debt Market Summit
Mumbai, May 26
India is increasingly being viewed not just as an emerging market but as a "standalone investment destination" backed by strong institutions and progressive regulatory frameworks, Mehul Pandya, MD & Group CEO, CareEdge said on Tuesday.
Speaking at the CareEdge Debt Market Summit 2026, Pandya said India has the potential to stand apart amid global economic uncertainty due to leaner corporate balance sheets and a credible fiscal trajectory.
"India is just not an emerging market. And as Chairman Sebi so aptly put it at the CII-USIBC interaction last month, India is being seen not just as an emerging market, but as a standalone investment destination, supported by strong institutions and progressive regulatory framework," Pandya said.
He said India's aspiration of becoming a USD 30 trillion economy by 2047 would require deeper and more developed debt markets to finance long-term growth.
"A nation of 1.4 billion people, the fastest growing major economy in the world, a vision of becoming a USD 30 trillion economy by 2047. That is the aspiration of Viksit Bharat," he said.
"And standing between that ambition and its realization is a single critical question. How does India finance its future? The answer lies in large part right here in the debt market," he added.
Pandya highlighted the need for stronger institutional participation and technological innovation in India's bond markets, saying the next phase of India's development cannot be financed by bank credit alone.
Referring to reforms introduced in capital markets, he said initiatives such as the T+1 settlement cycle, corporate debt market development fund and bond market outreach programmes are structural changes reshaping capital flows in the economy.
"The growth we are aiming cannot be financed by bank credit alone," Pandya said, attributing the statement to SEBI Chairman Tuhin Kanta Pandey.
He also pointed to the low participation of retail investors in corporate bonds despite growing equity market participation in the country.
"We have about 100 million equity investors who check their portfolio every single morning even before they check the weather. And yet, most of them have not invested in a single corporate bond," he said.
Pandya said sectors such as infrastructure, clean energy, manufacturing, power and data centres would require long-term and competitive capital beyond what the banking sector alone can provide.
Speaking at the summit, V Chandrasekaran, Chairman, Careedge Ratings, said India's financial markets have evolved significantly over the past three decades and continue to strengthen investor confidence through transparency and credibility."As financial markets evolved and deepened, the need for a credible, independent, analytically robust credit assessment became increasingly significant," Chandrasekaran said.He added, "From its early years to present state, the organization has remained firmly anchored to its core principles of objectivity, credibility, and trust."Chandrasekaran also said global financial markets are becoming increasingly interconnected and emphasised the importance of resilient and transparent financial systems in supporting long-term economic growth.
— ANI
Reader Comments
The point about retail investors ignoring corporate bonds is so true! We check our equity portfolios daily but have no clue about bonds. The SEBI initiatives like T+1 settlement are good steps, but we need more investor education. Banking alone can't finance our infra dreams.
Interesting perspective from CareEdge. Debt markets are the backbone of any developed economy, and India is still catching up in that space. The T+1 settlement is a global benchmark - even US markets are lagging there. But institutional participation needs to go beyond banks and insurance companies.
Respectfully, while the vision is inspiring, we need to address ground realities - regulatory hurdles, tax complexities, and liquidity issues in bond markets. The 'Viksit Bharat' dream requires not just ambition but concrete execution. That said, glad to see leaders acknowledging the debt market gap. 💡
Finally some focus on debt markets! I work in corporate finance and the lack of deep bond markets forces companies to rely on costly bank loans. Infrastructure financing needs long-term debt products. Hope the SEBI reforms like corporate debt market development fund actually translate into easier access for mid-sized firms.
As someone who invests in emerging markets globally, I can confirm India is indeed moving towards 'standalone' status. The regulatory framework under SEBI has been impressive - simpler processes, faster settlement. But the real test will be if retail investors start trusting bonds over FDs and gold. Baby steps though! 🚀
We welcome thoughtful discussions from our readers. Please keep comments respectful and on-topic.