Stocks to benefit from urbanisation theme

The city vibrancy index which measures the drivers of urbanisation by tracking investments in the consumption economy recovered to 5.7 per cent for the six months ended March 2017 from flat growth in the previous six months.

The consumption theme will remain relevant in playing the India story over the medium term, according to Morgan Stanley. Key highlights from the latest city vibrancy index includes most improvement in vibrancy rankings by the southern cities while financial infrastructure index saw the fastest growth in comparison to other indices.

Within the consumption index, retail hypermarkets saw the strongest growth. The segment had been amongst the slowest-growing since March 2011. Here are the stocks that should benefit from the theme of India’s urbanisation, according to Morgan Stanley: