No need for more than 3 PSU banks, says Rakesh Jhunjhunwala

NEW DELHI: Amid controversy surrounding the Rs 11,400 crore PNB scam, ace investor Rakesh Jhunjhunwala on Thursday said there is a need for the consolidation of public sector banks.

"There is no need for more than three PSU banks in the country. Sooner or later, there will be a political will to privatise banks," he said at the TiE conference.

The Big Bull added that the Indian economy will grow in double digits and the reintroduction of LTCG tax will not deter investors.


“Death and taxes are the only sure things in life. DIIs will continue to support the market,” Jhunjhunwala said at the TiE conference.

Speaking on the startup culture, he said, "I don't understand the business models of Flipkart and Uber. See no logic in people saying business models like that of Flipkart will flourish but that of D-Mart will not.”

On affordable housing, he said the scheme will give a big boost to Indian economy, as it will give a push to several industries such as cement and steel, among others.

Sharing his investment tips, he advised investors to buy shares with patience and conviction. “What is too popular may not be profitable. Don't invest in B2C companies, instead invest in B2B companies,” the Big Bull suggested.