India's ECM Set for $70 Billion Surge in 2026: Kotak's V Jayasankar

• Indian ECM activity, despite strong IPOs, fell to $55 billion in 2025 from $74 billion in 2024, primarily due to subdued QIPs and block deals.
• V. Jayasankar of Kotak Investment Banking forecasts a significant recovery, projecting ECM activity to reach $70 billion in 2026.
• This recovery is driven by easing macro uncertainties, improving corporate earnings, attractive valuations, and stronger investor confidence.
• IPOs are expected to remain robust at $25 billion, with block deals rebounding to $30 billion, while QIPs will see a measured rebound to $10-13 billion.
• Domestic institutional flows, totaling $200 billion since 2022, are increasingly shaping the market, with financial services leading sectoral activity.

Why It Matters: Indian ECM activity is projected to rebound to $70 billion in 2026 due to improved valuations and earnings.