Quite optimistic on retail sector: G Chokkalingam

In a chat with ET Now, G Chokkalingam, Executive Director & Chief Investment Officer, Centrum Wealth Management, shares his views on retail sector.

ET Now: What is your call on the retail sector?

G Chokkalingam: I firmly believe that government does not have option except allowing 51% FDI in multibrand retail for two reasons. Firstly, we need lot more dollars to sustain the import of oil.

Secondly, we also need to find out certain sectors which can give a boost in employment. Till recently we had IT sector. Now, IT sector is growing in single digit and. We had some opportunity in telecom which is also saturating.

So, the retail sector is a one sector which can help us on both front. The government is already talking to the farmers lobby. So, I expect that in this year 51% FDI in the multibrand retail will happen. Therefore, I am quite optimistic on the sector. However, I would be very selective.