How much has Goldman Sachs invested in its India banking franchise?

Goldman Sachs has invested approximately $500 million in its India banking franchise over the last three years.

What is Goldman Sachs' new strategy for India?

Goldman Sachs' new strategy involves treating India as a current growth engine rather than just a future prospect, focusing on building scale across various financial services and entering broader business suites.

What does Goldman Sachs expect for India's IPO market?

Goldman Sachs expects India's IPO market to accelerate, with the firm having secured numerous mandates and anticipating continued strong activity.

Home / Business and Economy / Goldman Sachs Bets Big on India's Growth

Goldman Sachs Bets Big on India's Growth

11 Feb

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Summary

Goldman Sachs invested $500 million into its India banking franchise.
The firm's India dealmaking saw a dramatic shift, improving rankings.
Goldman sees future growth, expecting India's IPO market to accelerate.

Goldman Sachs Bets Big on India's Growth

Goldman Sachs has significantly increased its investment in India, injecting about $500 million into its banking franchise over the past three years. This strategic pivot signals a move away from viewing India solely as a future growth market towards recognizing its current economic dynamism. The firm's India head, Sonjoy Chatterjee, successfully argued for this change, emphasizing stabilized inflation, reduced bad loans, and robust corporate balance sheets.

This renewed focus is yielding results, with Goldman vaulting to fourth in Indian equity offerings and fifth in mergers last year, surpassing key rivals. The bank is now actively seeking to build scale across various financial services, including equity underwriting, private credit, and structured finance. This approach involves competing directly with entrenched domestic and international banks, even if it means accepting thinner margins initially to establish market presence.