Nirmala Sitharaman blames US, AI-driven markets for nearly 12% fall
India's Finance Minister Nirmala Sitharaman has raised a red flag about investors moving their money out of India and into the US and AI-driven markets.
She explained on the sidelines of the IMF-World Bank meetings on Friday that this shift is behind the benchmark BSE Sensex and Nifty 50 falling nearly 12% over the past year, with global uncertainty and tech hype making things tougher for Indian markets.
India's share slips to 10%
AI-linked markets such as Taiwan and South Korea have benefited from their exposure to major technology companies.
As a result, India's share in key Asian stock indexes has slipped to just 10%.
Despite these headwinds, Sitharaman remains optimistic: she believes India's economy is solid enough to weather these changes and adapt as global trends evolve.