Adani Group-US Saga: 'Zero' Impact On... - Financial Expert Kishore Subramanian Analyses

The recent allegations leveled against the Adani Group by the US Department of Justice have sent shockwaves through the Indian business landscape. The broader question remains: How will this crisis impact the Indian economy?
Renowned financial expert Kishore Subramanian offers a provocative perspective on the situation, suggesting that the allegations are part of a larger geopolitical game. He posits that the West, particularly the US, may be attempting to destabilise India's burgeoning economy, which has been steadily gaining global prominence.

“ The impact of this on the Indian economy is going to be Zero, this is just an attempt by the Western world to destabilise the Indian economy which is growing at a good pace.  The West can destabilise the Indian economy by destabilising the conglomerate,” Subramanian added. Subramanian's view is that the Adani Group has emerged as a formidable force, challenging traditional power dynamics in global trade and infrastructure. By targeting the group, the West may be seeking to curtail India's economic ambitions and maintain its dominance.
 

According to Subramanian, global geopolitics is a play of power and politics, and the 7.5 per cent growth of India is not being taken well by the West. “ Adani is expanding its business across the world and is also snatching business from China and America. The power of the Indian establishment is not liked by other countries. 

India's Economic Resilience

Despite these potential challenges, India's economic fundamentals remain strong. The country's robust domestic consumption, a growing middle class, and a favourable demographic dividend continue to drive economic growth. Furthermore, the government's focus on infrastructure development, digital initiatives, and economic reforms provides a solid foundation for sustained growth.
Impact on the Stock Market

As far as the impact on the Indian stock market is concerned, Subramanian says, “ As far as the markets are concerned, I just want to say that these event based corrections do not last.”