India's Market Valuations Still Elevated Despite Easing, Says BofA CEO

Despite a moderation in valuations and a slowdown in foreign investment inflows, India's stock market remains relatively expensive compared to its global counterparts, according to Bank of America's India CEO Vikram Sahu.

Speaking on Bloomberg's "Insight with Haslinda Amin" alongside Menaka Doshi, Sahu noted that while some cooling has occurred, the overall pricing of Indian equities has not yet reached levels that would be considered cheap by international standards.

The comments come amid a shifting landscape for Indian markets, where foreign portfolio inflows have weakened in recent months. Analysts have pointed to global monetary tightening and valuation concerns as factors dampening investor appetite for Indian assets.

Sahu's assessment suggests that foreign investors may continue to tread cautiously until Indian stocks become more attractively priced. The statement reflects a broader debate among market participants about the sustainability of India's premium valuation relative to other emerging and developed markets.