Sitharaman on Adani fallout: Regulators will look into it

TIL Desk/Business/Mumbai/ India’s economic image is not affected due to Adani Group’s recent decision to pull out Rs 20,000 crore FPO (follow-on public offers) amid allegations of financial wrongdoings, Finance Minister Nirmala Sitharaman said on Saturday. The finance minister said there has been an accretion of $8 billion to the forex reserves in the last two days alone.

“…our macroeconomic fundamentals or our economy’s image, none of which has been affected. Yes, FPOs  come in, and FIIs (foreign institutional investors) get out,” Sitharaman told reporters in Mumbai. The minister said there are ‘fluctuations’ in every market but the accretion over the last few days establishes the fact that the perception of both India and its inherent strengths is intact.

Answering a broader question on the allegations against Adani Group, she said the country’s independent financial sector regulators will be looking into the aspect and added that capital markets watchdog Securities and Exchange Board of India has the wherewithal to ensure stability in markets.