Union Min Shekhawat says Adani issue won't have any impact on economy

BHOPAL: The upheaval in the value of shares of the Gautam Adani group due to allegations by a US-based investment research firm will not have any impact on India's economy, Union Minister Gajendra Singh Shekhawat said here on Sunday.

Adani group stocks have taken a massive hit after US-based activist short-seller Hindenburg Research made a litany of allegations including fraudulent transactions and share price manipulation. The group has dismissed the charges as lies.

''I feel the share (value) of a private company would hardly have anything (impact) to do with the economy of the country. I think it is a normal process. The company's shares had witnessed ups and downs in the past,'' the Union Jal Shakti minister told reporters after being queried about developments connected to the billionaire businessman's conglomerate.

Shekhawat hailed the Union Budget and said the country's economy, which was the fifth largest in the world, had made rapid strides under the leadership of Prime Minister Narendra Modi despite the Covid pandemic and resultant global slowdown.

The Union government's unwavering faith in the leadership and skill of young people has paid off with India now having the highest number of start-ups, he added.