Mark Mobius Bullish on India's Real Estate and Semiconductor Boom

At the NDTV World Summit 2024, Mark Mobius expressed optimism about India's growth in real estate and semiconductors. He emphasized rising living standards driving real estate demand, while forecasting India's leadership in semiconductors due to its population and software industry. Mobius praised India's GST system for tax unification.

Mark Mobius, a seasoned investor renowned for his insights into emerging markets, expressed a bullish outlook on India's burgeoning real estate and semiconductor sectors. Speaking at the NDTV World Summit 2024 in New Delhi, Mobius, who serves as the Chairman of the Mobius Emerging Opportunities Fund, highlighted the potential of these sectors amidst India's rising standard of living.

Mobius emphasized that the increasing standard of living in India will generate significant demand for housing. "People want homes, and the supply must be met," he stated, reinforcing his optimistic view on real estate. In the semiconductor industry, Mobius predicted that fabrication companies would establish a presence in India, citing the nation's large labor force and population as attractive factors.

The industry veteran projected that India is poised to become a leader in semiconductor production, attributing this to the country's open economy, strong demand, and an already robust software industry. Currently, the government has approved five semiconductor units in India, with construction underway at two sites and soon to commence at three more, backed by investments totaling nearly Rs 1.5 lakh crore.

Mobius also praised India's Goods and Services Tax (GST) system, highlighting its success in unifying taxes across a diverse nation since its implementation on July 1, 2017. The taxation system has streamlined procedures and mitigated cascading tax effects.

Discussing his investment strategies, Mobius mentioned that he focuses on companies' earnings growth, return on capital invested, and management quality. When prompted for advice to his younger self, he advised patience and thorough market study, emphasizing the importance of listening to market dynamics.

(With inputs from agencies.)