MALAFIDE INTENT

AT A TIME WHEN MANY DEVELOPED ECONOMIES ARE ON THE VERGE OF RECESSION, INDIA CONTINUES TO PROGRESS. IN THIS BACKGROUND, THE HINDENBURG RESEARCH SEEMS TO BE A WELL-ORGANISED CONSPIRACY AGAINST INDIA

The term ‘arm’s length transaction’ is of extreme importance in the financial landscape of the modern world. This aspect of the Hindenburg Research’s report on the Adani conglomerate later, but first, a look at global macroeconomic data. And even before this data, here’s one unmissable comment from the recently concluded World Economic Forum Davos 2023 meeting. “Exceedingly well” – these were the words the Governor of the Bank of Japan (BOJ) used when he referred to India’s present economic progress during the event.

The remarks of the BOJ Governor were seconded by many top global executives, including equipment maker Nokia’s CEO and telecom company Ericsson’s head. In fact, many prominent foreign publications, including CNBC, highlighted how India’s economic progress and anticipated advancements in the near future brought relief during the subdued Davos event that was largely overshadowed by fears of a global slowdown and inflationary pressures cutting across continents.

BRINGING INDIA DOWN

Of late, prices have hovered at very high levels in almost every country, including most advanced countries like the US and the UK and emerging economies like China and India. This has eroded the purchasing power of households, which has hit demand and consumption. The housing markets of virtually all developed countries are facing correction both in terms of prices and sales volume. Overall, the US economy contracted during the first half of last year, while that of China was hit by severe headwinds in the full year of 2022.