Recently ace banker Uday Kotak shared his views on India’s growth on X (erstwhile Twitter). The founder and director of Kotak Mahindra Bank, wants corporate houses to move away from banks in a bid to help India achieve dream of 9% annual growth and becoming a $30 trillion GDP by 2047. He highlighted a changing landscape where savers are transforming into investors, presenting challenges for the banking sector regarding deposits and funding costs. The large corporate sector has to meaningfully move to capital markets (debt and equity) and away from banks. Banks will become distributors of corporate debt rather than storage houses. They will need to penetrate mid sized corporates, MSMEs and consumers.

He urged vigilance against market bubbles. Referring to the prolonged stagnation of Japan's Nikkei Index even after 34 years, he stressed the importance of policies, regulations, education, and the supply of high-quality investments to prevent similar situations.

Addressing taxation issues, Kotak pointed out the need for a relook at double taxation on dividends, drawing a parallel between shareholders and partners regarding taxation principles. He also stressed the necessity of bridging the gap between debt and equity tax rates to encourage market growth.

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