Rakesh Jhunjhunwala says despite recent losses, he'll still bet on BJP for 2019 Lok Sabha polls

Notwithstanding the recent Assembly poll outcomes in five states, the Big Bull of the stock market, Rakesh Jhunjhunwala, is still betting his money on the BJP when it comes to the upcoming Lok Sabha elections in 2019. The billionaire investor said on Thursday that the recent beatings won't affect the outcome of the General Elections in 2019 and that it was anti-incumbency that caused the saffron party's defeat in Rajasthan, Madhya Pradesh and Chhattisgarh.

"Remember, the BJP had 15 years of incumbency in Rajasthan and MP. It still managed to capture a large vote share," Jhunjhunwala said during the India Economic Conclave, 2018, in Mumbai, reported the Economic Times.

The BJP faced major defeats in the three Hindi heartland states in the recent Assembly elections, even though it held several rallies by roping in all prominent leaders of the party, including Prime Minister Narendra Modi.

But Jhunjhunwala believes the recent poll defeats will have no effect on the mega electoral battle in 2019, and that even market wants the BJP to win the General Elections. Explaining why he has so much faith in the BJP's leadership, Jhunjhunwala said he is a "BJP supporter and will remain one".

"India is a responsible democracy, and markets are above individual parties and personalities. But I am a BJP supporter and will remain one. The sky is not going to fall if the BJP does not win. But the market has a desire that the BJP returns to power," he said during the event.

Also read: Assembly election results 2018: BJP gets reality check, Congress shines! Here's who said what

Jhunjhunwala said he is positive about the Indian economy's upward trajectory. He said the capital investment is rising in the country and so is the overall consumption.

Talking about the easing global factors, the billionaire said India's macroeconomic fundamentals look solid since crude oil prices have seen a steady decline in the past few days.

Talking about the major problems in the economy, Jhunjhunwala said the recent IL&FS crisis is likely to be "the peak of the banking crises" but maintained that the government had identified bad assets in the banking sector.

"We have a problem of plenty of food now. Plus, there is a huge volume of local money waiting to come into the market," he told the daily. He also praised the government for carrying out major economic reforms, including Goods and Services Tax. "...everyone is talking about problems with GST, not the benefits," he added.

Edited by Manoj Sharma