Mumbai (11 January 2021)
It has been an unbridled CY2020, wherein the economy experienced extreme volatility. The economy was not at all prepared for something like a “Covid” phenomena, and therefore, rightly gave a knee jerk reaction in March-April 2020. Capital was sucked out, and Cost of Capital shot up disproportionately.
However, as we set into CY2021, we have been amazed with the way the Markets seem to have written off the impact of Covid (save some severe casualties of Covid including tourism, hotels, aviation). Capitalizations are at all time high and Cost of Capital has gone down to modest levels.
A copy of the report is available for download here.