Page 5 - Edelweiss India Conference 2022 FLIPBOOK
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Energy has been India’s bugbear—necessitating huge and FX-guzzling fossil fuel
imports that are awfully polluting. This is set to potentially turn on its head. India is on
the threshold of a generational shift. New Energy plans build on India’s advantage as
the world’s lowest-cost PV base given locally abundant key ingredients: sun & sand. The
upcoming largest and most integrated capacities globally shall revolutionise renewable
energy economics further, enabling green hydrogen production at one–fourth the cost
of global levels. This is a USD10tn opportunity—to create, re-energise and transform
India from being sapped by its energy burden to one in the vanguard of a switchover to
green energy.
Manufacturing has for long been the holy grail of Indian economic and job creation
scheme showcasing the shift. And the third, global shifts: the China-plus-One sourcing
strategies are already inspiring and shifting capacities to India. There is a ‘New Edge’ to
India’s manufacturing, and its proof is in the ‘making’.
India’s digital
boxes. There’s the digital infrastructure for Identity (Aadhar), payments (UPI) and mobile
payments—all of which are state-of-the-art, open architectures and cheap. The very
essence of a platform. There’s now scale and risk capital—India’s rocketing Unicorn
shortage of entrepreneurs, ready to risk, and make the leap forward. India has always
been a player in the global digital shift—its ‘New Edge’ positions it in more of a leadership
role, for its own market, and the contributions it can make beyond.
India has been built – physically and in mindset – on capital scarcity. This has
evolved over the last couple of decades, but it’s still been very ‘foreign public market
equity investor dependent’—and at the relatively low end of the equity risk spectrum.
A couple of decacorn listings is only the tip of the iceberg. There has been a fundamental
broadening of the capital pool – the retail domestic equity investor, private market
expanded: VCs to yield investor, only liquid public markets to long-term infrastructure
assets, and the appetite for private market risks at scale. This is not an overnight
phenomenon, but India’s massive and stabilising capital access shift—a ‘New Edge’ that
will be the basis for building bigger and better.
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