Sensex to Reach 3 Lakh by 2036, Says Raamdeo Agrawal on India’s Growth Potential

Veteran investor and Motilal Oswal Financial Services Chairman Raamdeo Agrawal has reiterated his strong bullish stance on India’s long-term growth story, projecting that the Sensex could potentially touch the 3 lakh mark by 2036.

Speaking at the Groww India Investor Festival 2026, Agrawal described India as the “Ferrari” among global markets, highlighting the country’s ability to consistently create long-term wealth and multibagger stocks despite global uncertainties, geopolitical tensions, and AI-led disruptions across international markets.

Why Raamdeo Agrawal Remains Bullish on India

According to Agrawal, India’s market journey over the past four decades proves the strength of long-term compounding and structural growth.

He pointed out that the Sensex has climbed from just 100 points to over 80,000 in nearly 40 years.

India’s Long-Term Market Journey

Period	Sensex Growth
Early 1980s	Around 100
2026	Over 80,000
2030 Projection	1.5 lakh
2036 Projection	3 lakh

Agrawal said India’s economic fundamentals, financialisation, and entrepreneurial ecosystem continue to support sustained wealth creation.

“India Is the Ferrari of Global Markets”

While discussing global market comparisons, Agrawal compared India’s Sensex with South Korea’s KOSPI index.

Both indices were launched around 1980, but the growth trajectories have been dramatically different.

India vs South Korea Markets

Index	Current Level
Sensex	80,000+
KOSPI	Around 5,000

According to Agrawal:

“Form may be temporary, but class is permanent. India is the way to go.”

He emphasized that India remains one of the best markets globally for finding long-term multibagger opportunities.

India’s Market Cap Growth Outpacing Global Peers

Agrawal highlighted that India’s market capitalization has compounded at nearly 14% annually in dollar terms over the last two decades.

Market Cap Compounding Comparison

Market	CAGR
India	~14%
United States	~7%

This rapid pace of growth allows Indian markets to potentially double every five to six years.

Why India Creates More Multibagger Stocks

The veteran investor said that India’s fast-growing economy naturally creates more opportunities for wealth generation.

Referring to internal studies inspired by the book 100 to 1 in the Stock Market, Agrawal said nearly 20% of NSE 500 companies delivered over 25% annualized returns for a decade.

Multibagger Comparison

Market	10-Bagger Companies
NSE 500	~20%
S&P 500	~7%

He explained that the fastest-growing economies and industries often generate the highest number of multibagger stocks.

The Formula Behind Big Wealth Creation

According to Agrawal, three qualities are essential for identifying massive long-term winners:

Raamdeo Agrawal’s Investing Formula

Factor	Importance
Vision	Spotting future opportunities
Courage	Investing despite skepticism
Patience	Holding through volatility

He stressed that most investors underestimate the true power of long-term compounding.

Understanding Compounding

Agrawal explained that in stocks generating 100x returns over 20 years, the majority of wealth creation often happens in the final few years.

“You sit through 19 years because most compounding comes in the 19th and 20th year.”

The Bharti Airtel Investment That Changed His Career

Agrawal also shared details about his early investment in Bharti Airtel during the early 2000s.

At that time, India had very low mobile penetration, and many investors were skeptical about telecom profitability.

Bharti Airtel Investment Snapshot

Particulars	Details
Entry Price	₹19–₹30
Final Exit	Around ₹650
Approximate Returns	25x

Agrawal said he became convinced about the telecom revolution after studying network businesses and meeting Sunil Bharti Mittal.

Quick Commerce Is the “Next Bharti Airtel Moment”

The market veteran also compared India’s booming quick-commerce sector to the early telecom industry.

According to him, today’s cash-burning quick-commerce firms could eventually evolve into massive long-term businesses due to network effects and scale advantages.

Sectors Agrawal Finds Attractive

Sector	Opportunity
Quick Commerce	Massive consumption growth
Financial Platforms	Rising retail participation
Capital Markets	Expanding demat ecosystem
Technology	Digital transformation

He believes India’s quick-commerce ecosystem is becoming globally significant.

India’s Financialisation Story Is Just Beginning

Agrawal highlighted the rapid expansion of India’s retail investing ecosystem.

India’s Retail Investing Growth

Metric	Estimate
Current Demat Accounts	220+ million
Potential by 2031–32	500–600 million

The rising participation of retail investors could create major opportunities for:

• Stock brokers
• Exchanges
• Asset management companies
• Wealth-tech platforms
• Depositories

What Raamdeo Agrawal Avoids While Investing

Despite his bullishness on growth, Agrawal maintains strict investment filters.

His Key Investment Filters

Filter	Preference
Return on Equity	Above 20%
Governance	Strong management quality
Business Quality	Healthy receivables
Operations	Factory-level verification

He warned investors against companies with weak governance standards and poor capital efficiency.

Sensex at 3 Lakh by 2036?

Agrawal remains optimistic about India’s long-term macroeconomic trajectory.

His Long-Term Outlook

Timeline	Sensex Projection
2030	1.5 lakh
2036	3 lakh

He believes rising earnings growth, increasing financialisation, and expanding investor participation will continue driving Indian equities higher over the next decade.

According to Agrawal:

“Three lakh in 12 years is more guaranteed than one-and-a-half lakh in six years. That is how compounding works.”

Final Take

Raamdeo Agrawal’s latest comments reinforce the long-term bullish narrative surrounding India’s capital markets.

Despite global volatility, geopolitical tensions, and AI-driven shifts in international capital flows, India continues to stand out as one of the strongest long-term wealth creation stories globally.

His projections for Sensex reaching 3 lakh by 2036 may appear ambitious today, but Agrawal argues that decades of compounding, structural growth, and rising retail participation could make it achievable over time.

What did Raamdeo Agrawal say about Sensex?

Raamdeo Agrawal said the Sensex could potentially touch 3 lakh by 2036 due to long-term compounding and India’s structural growth story.

Why does Raamdeo Agrawal call India a Ferrari among markets?

He believes India offers superior long-term wealth creation opportunities compared to most global markets.

What sectors does Raamdeo Agrawal currently like?

He highlighted quick commerce, financial platforms, capital markets, and technology-driven businesses as promising sectors.

What was Raamdeo Agrawal’s Bharti Airtel investment return?

He reportedly bought Bharti Airtel shares around ₹19–₹30 and exited near ₹650, generating nearly 25x returns.

What are Raamdeo Agrawal’s key investing principles?

He focuses on vision, patience, strong management quality, high return on equity, and long-term compounding.