Uday Kotak, founder of Kotak Mahindra Bank, raised concerns about India's ability to withstand a potential global shock from a significant foreign portfolio investor (FPI) selloff. He highlighted the need for India to enhance its competitiveness in an increasingly protectionist global trade environment, especially after a record $11.2 billion in FPI sales in October led to a notable decline in the Nifty 50 and BSE Sensex. With FPIs holding nearly $930 billion in Indian equities, Kotak questioned whether the market could absorb a 10% withdrawal without severe repercussions.
