Providing value-added solutions can play a key role: Sanjay Nayar

Impact of rupee fall on Indian PE investments

KKR is a long-term strategic investor, and our average private-equity investment is for five-to-seven years. For us, we provide "all-weather" capital. While the rupee depreciation will have near-term impact for short-term investors, in the long term, there will be elements of growth and appreciation with the Cabinet Committee clearing key projects, along with the recent tactical measures and foreign direct investment announcements.

How the situation can be handled by PEs?
As a long term investor, once the economic upturn kicks in, the reforms process starts and companies have the confidence of investing again. Providing value-added solutions beyond just providing capital can play a key role in driving corporate growth. There are a lot of companies both the private and public sector that will look for more strategic long term capital, and private firms will play a key role in providing that capital.

Will this situation hurt India's image as a PE destination?

Today, India can be an attractive destination for PE so long as the right policy direction is set and companies are looking for more than just capital in order to grow their business.

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Sanjay Nayar
CEO & Country Head, KKR India