{"id":313408,"date":"2026-10-16T12:46:04","date_gmt":"2026-10-16T07:16:04","guid":{"rendered":"https:\/\/univest.in\/blogs-2\/?p=313408"},"modified":"2026-10-16T12:46:04","modified_gmt":"2026-10-16T07:16:04","slug":"nilesh-shah-of-kotak-says-easing-tax-burden-may-help-attract-foreign-flows-but-wont-be-enough","status":"publish","type":"post","link":"https:\/\/univest.in\/blogs-2\/nilesh-shah-of-kotak-says-easing-tax-burden-may-help-attract-foreign-flows-but-wont-be-enough\/","title":{"rendered":"Nilesh Shah of Kotak Says Easing Tax Burden May Help Attract Foreign Flows, but Won’t Be Enough"},"content":{"rendered":"

Nilesh Shah of Kotak Mahindra AMC said on 16 Oct 2026 that lowering the tax load from STT and long-term capital gains tax could help attract foreign flows, but that it will not be enough on its own. FPIs have sold a record Rs 3.08 lakh crore of Indian equities in 2026 against Rs 1.66 lakh crore in all of 2025. He also named consumption and banking and financial services as sectors to watch. Educational only.<\/em><\/p>\n

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Quick Answer<\/strong><\/p>\n

Nilesh Shah of Kotak Mahindra AMC said on 16 October 2026 that easing the burden of STT and long-term capital gains tax may help attract foreign flows, because many foreign investors cannot claim credit for Indian taxes at home. Nilesh Shah sees the recent selling as a strategic reallocation driven by high US interest rates and the shift of money to AI, not a permanent exit from India. FPIs have sold a record Rs 3.08 lakh crore of Indian equities in 2026, so a tax cut alone would be unlikely to reverse that without better returns. Nilesh Shah pointed to consumption and banking as sectors to watch and said large and mid-cap valuations are about 30% below their September 2024 peaks.<\/p>\n<\/p><\/div>\n

Nilesh Shah is the Managing Director of Kotak Mahindra Asset Management Company and one of the most quoted voices in Indian markets. His comments come as foreign portfolio investors (FPIs) sell heavily and the Sensex and Nifty are both down in 2026.<\/p>\n

This guide covers what Nilesh Shah said about taxes and foreign flows, why he thinks a tax cut will not be enough, the FPI data, the views of other market experts and the risks. It is educational and not a recommendation to buy or sell.<\/p>\n

Click Here – Get Free Investment Predictions<\/a><\/strong><\/p>\n

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