From 25k to 75k: Tracking India's equity market in past 10 yrs

The BSE Sensex has roughly added 50,000 points in just one decade and the broader NSE Nifty50 has sprinted from 7,400 to 22,500 level

- ARSHAD KHAN

INDIA'S equity market has seen a remarkable rally in the last 10 years as investors continue to show great confidence in Prime Minister Narendra Modi-led central government.

Winning the last two General Elections with an absolute majority, the street believes there have been several positives for the market: stable policy, increased capital expenditure and robust inflow of funds.

On the back of this jubilant mood, two frontline indexes rallied and how. The BSE Sensex has roughly added 50,000 points in the last 10 years as it sprinted from 25,000 in May 2014 to 75,000 in April 2024 while the broader NSE Nifty50 has sprinted from 7,400 level to 22,500 level. The market capitalism of all BSE-listed firms also surged from 100 lakh crore to ₹400 lakh crore.

"Low-interest rates implemented by central banks in response to the 2008 financial crisis created an environment that encouraged borrowing and investment, fueling corporate activity and stock market valuations. Additionally, government stimulus packages enacted during economic downturns and periods of crisis, such as the COVID-19 pandemic, provided crucial liquidity injections that propped up markets and investor confidence," said Sonam Srivastava, Founder and Fund Manager at Wright Research.