Alarm bells over Adani’s ventures began in 2022 when Sri Lankan officials alleged undue influence by the Indian government to secure renewable energy contracts for the group. 
This was dismissed at the time, and subsequent geopolitical partnerships, such as a $533 billion U.S.-backed Adani port project in Sri Lanka, seemed to normalize the situation. However, recent events—spanning Kenya, Bangladesh, and now a U.S. grand jury indictment—have reignited scrutiny over Adani’s global operations and their potential impact on Brand India. 
The Adani Group’s financial position is substantial, with a total debt of ₹2.4 lakh crore and cash reserves of ₹59,791 crore, leaving a net debt of ₹1.81 lakh crore. The cash holdings cover 24.77% of total debt, ensuring liquidity to meet debt obligations for the next 30 months. These metrics signal adequate stability to maintain operations, mitigating immediate concerns for creditors. 
Public sector banks, which hold considerable exposure to Adani’s debt, and the Indian government are unlikely to permit the group’s collapse due to the systemic risks it could pose to the broader economy. This ensures that creditors remain confident in the group’s ability to service its obligations. So, is it too big to fail? 
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