Almost half of the foreign direct investment received by the Adani Group, a conglomerate led by Indian tycoon Gautam Adani, came from offshore entities linked to his family between 2017 and 2022, according to an analysis by the Financial Times of India’s FDI remittance statistics. The opaque provenance of these funds has raised concerns over how they helped Adani build his business empire, which has grown rapidly through debt-fuelled expansion and aligning with India's Prime Minister Narendra Modi's development agenda.


News points

  • Almost half of all foreign direct investment (FDI) received by the Adani Group, at least $2.6bn, came from offshore companies linked to the Adanis between 2017 and 2022, according to a Financial Times analysis of India's FDI remittance statistics.
  • 45.4% of the Adani Group's total FDI over the period came from these offshore entities.
  • The rapid growth of Adani's companies has raised scrutiny over the role of these opaque funds in financing the expansion of his conglomerate.
  • In 2022, Adani Group was one of India's biggest recipients of FDI, receiving 6% of inflows into the country.
  • Official FDI statistics don't include foreign portfolio investments or investments in listed companies amounting to less than 10% of their paid-up capital, meaning that the full extent of opaque overseas investments into Adani companies will be higher.
  • Most offshore shell companies supplying FDI to the conglomerate have been disclosed as part of Adani's "promoter group", meaning they are closely tied to Adani or his immediate family.
  • Experts say that the opacity surrounding Adani's offshore entities is unusual for a company that relies on institutional capital for growth because established investors prefer to back companies they understand.