India’s IPO Market to Surpass Global Peers by 2035, Says Nilekani

India is on track to emerge as the most preferred destination for initial public offerings (IPOs) by 2035, according to Infosys co-founder Nandan Nilekani. Highlighting a shift in market dynamics, Nilekani noted that companies are increasingly looking to list domestically, calling it a “ghar wapsi” moment for Indian businesses. 

While India already leads in the number of IPOs, their overall valuation remains lower than in the US. 

Speaking at the event, he highlighted the essential “key unlocks” needed to grow India’s growth rate to 6-8% and achieve an $8 trillion economy by 2035 hinges on technology, a skilled workforce,sustainability, and decentralized governance. 

“Ghar wapsi is happening. Companies that were incorporated in Singapore or the US are flipping back, paying a tonne of taxes so that they can list in India,” Nilekani said. “I remember seven to eight years ago, we had to persuade companies to come back and list here. Now, they are returning on their own and paying premium taxes.”

He stressed the need to formalise, highlighting its transformative impact on the economy and the importance of establishing a unified national framework for reliable credentials. 

Additionally, he advocated for a nationwide system for benefits, ensuring portability so that individuals can retain and utilize them regardless of location.

Nilekani pointed out that entrepreneurs will continue to raise capital, scale their businesses, and go public, ultimately creating value for all stakeholders. However, he cautioned that without reducing bureaucratic hurdles, they may explore opportunities in other markets. He believes that by implementing eight key reforms, India can achieve a sustained growth rate of 6-8%.