Stronger at Home: Adani Group’s Shift to Domestic Financing Signals Stability

The Adani Group has significantly strengthened its financial position, with Indian lenders now holding half of its total borrowings—marking a milestone in the conglomerate’s journey towards deeper integration with India’s banking system. Borrowings from domestic sources have surged to more than ₹2.6 lakh crore, up from 40% a year ago, reflecting growing confidence in the group’s stability and future growth.

According to a report by the Times of India, by the end of June 2025, rupee-denominated loans accounted for 50% of Adani’s total debt, equaling funds sourced in dollars. 

This shift showcases the group’s ability to build strong partnerships with India’s public sector banks, private lenders, and financial institutions, ensuring easier access to capital for its ambitious expansion plans.

Public sector banks increased their exposure from 13% to 18%, while NBFCs and financial institutions grew their share from 19% to 25%. Meanwhile, reliance on international borrowings saw a decline, with dollar bonds dropping to 23% of borrowings from 31% and loans from foreign banks easing slightly to 27%. Private banks maintained a steady 2% share, with lending growing by 20%, underlining balanced support from across the sector.

The rise in domestic support is matched by improved fundamentals. Over the past two years, Indian banks have raised their exposure to the group by around $15 billion (₹1.3 lakh crore), reinforcing faith in its financial resilience. Adani has also fortified its balance sheet with ₹60,000 crore in cash reserves—equivalent to 25% of total debt—ensuring liquidity and stability.

Investor presentations highlight the group’s commitment to long-term growth through stable, cash-generating assets in ports and power ventures, while maintaining leverage well below industry averages. These prudent measures have contributed to stronger credit ratings and greater trust from lenders.

The group’s financial progress is complemented by record-breaking performance. In FY25, Adani reported its highest-ever EBITDA of ₹89,806 crore, an 8.2% increase, alongside a post-tax profit of ₹40,565 crore. Capital expenditure rose to ₹1.26 lakh crore as the conglomerate invested heavily in infrastructure and renewable energy, further cementing its role in India’s economic growth story. Despite this robust investment, its net debt-to-EBITDA ratio stood at a healthy 2.6, demonstrating careful financial management.

On the global front, Adani remains India’s largest corporate issuer in offshore markets through the 144A/Reg S route, raising $9 billion across a wide range of maturities, including 30-year terms. Its disciplined refinancing strategy—having refinanced $2.7 billion over seven years—combined with upgrades from Moody’s, Fitch, and S&P, showcases its growing credibility among international investors.

With participation from over 200 global investors and over 90% of earnings tied to AA-rated or higher assets, the Adani Group has established itself as a symbol of India’s industrial strength. The rising support from Indian lenders, combined with global investor trust, positions the conglomerate to drive economic transformation, invest in infrastructure, and fuel long-term sustainable growth.