Investors are concerned about the impact of an NBFC collapse on the wider sector and a funding crunch in an economy where growth has slowed to a six-year-low.
Cash squeeze threatens broader fallout, as higher cost of funds is passed on to merchants getting micro loans & property tycoons looking to roll over debt.
Mistrust toward NBFCs that started with IL&FS Group’s default last year has spiralled after DHFL & units of Reliance Capital missed repayments on dues.
One such website has drawn particular scrutiny for spreading fake stories that have upset not only the Indian but also foreign defence firms by falsely attributing misinformation.
Standing up to America is usually not a personal risk for a leader in India. Any suggestions of foreign pressure unites India behind who they see as leading them in that fight.
COMMENTS