![Financial Fix | How’s the Market Going to Look Like If BJP Wins?](https://kashmirobserver.net/wp-content/uploads/2020/08/Kashmir-Constructions.jpg)
By Irshad Mushtaq
When the Bharatiya Janata Party (BJP) wins an election in India, certain sectors of the stock market often see a positive impact due to the party’s policies and economic agenda. Historically, these sectors have included:
1. Infrastructure & Construction: The BJP has emphasized infrastructure development, which benefits companies in construction, engineering, and related services.
2. Banking & Financial Services: Pro-business policies often boost investor confidence, leading to higher market activity and demand for banking and financial services.
3. Utilities & Energy: With a focus on electrification and energy reforms, sectors like power generation, renewable energy, and utilities may see growth.
4. Automotive & Manufacturing: The BJP’s ‘Make in India’ initiative can spur manufacturing growth, benefiting auto and industrial companies.
5. Technology & IT Services: Pro-investment policies and digital initiatives can drive growth for IT companies, both in services and products.
6. FMCG (Fast-Moving Consumer Goods): Economic stability and growing consumer confidence can boost the FMCG sector as disposable incomes and consumption rise.
7. Real Estate: Real estate might benefit from policies aimed at affordable housing and urban development.
The exact impact depends on the policies implemented post-election and global economic conditions. Keeping an eye on policy announcements and government initiatives will provide a more precise indicator of sector performance.
- Learn from the insights of writer and investor, Irshad Mushtaq who is also a founder of MI Securities and a business partner at Sharekhan. Reach out to him at [email protected] for valuable knowledge on financial matters.