Indian industrialist Gautam Adani has overtaken Mukesh Ambani to become Asia’s richest person, as rising geopolitical tensions linked to the Iran conflict weigh heavily on energy markets and reshape the fortunes of two of India’s most powerful business empires. The shift reflects diverging exposures to global oil prices and differing corporate strategies amid a volatile economic backdrop.
Ambani, chairman of Reliance Industries, has seen his net worth fall sharply by $16.9bn this year to $90.8bn, marking the largest decline among Asia’s wealthiest individuals. The drop has been driven largely by pressure on Reliance’s petrochemicals-heavy business model, which remains closely tied to crude oil prices and refining margins. In contrast, Adani’s wealth has increased by $8.1bn over the same period, reaching $92.6bn, propelled by gains across infrastructure, energy, and logistics assets.
Market analysts say the divergence highlights how global energy shocks are reshaping corporate fortunes in India. Reliance, which operates the world’s largest refinery, has been particularly exposed to fluctuations in crude oil prices and freight costs. Rising global tensions have pushed up input costs and squeezed margins, weakening earnings expectations for its core refining and chemicals businesses.
Adani’s conglomerate, by contrast, has benefited from its more diversified structure and domestic focus. Spanning coal trading, renewable energy, ports, airports, and cement, the group has been described by analysts as both “resilient and resurgent” following a turbulent period marked by fraud allegations and legal scrutiny. Despite those challenges, the group has continued to expand aggressively, supported by India’s strong economic growth and infrastructure demand.
“The impact of global crude oil prices and geopolitical issues is clearly visible on Mukesh Ambani’s businesses,” said Kranthi Bathini, director of equity strategy at WealthMills Securities in Mumbai, as quoted in Financial Times reporting. He added that Adani’s businesses remain closely aligned with India’s domestic growth story, helping them weather external shocks more effectively.
India’s broader wealth landscape has also been affected. The country’s richest individuals have collectively lost $28.1bn so far this year, reflecting the wider impact of rising oil prices, capital outflows, and investor caution. Oil-importing economies like India have been particularly vulnerable, with higher energy costs feeding into inflationary pressures and weakening corporate earnings.
Foreign institutional investment in Indian markets has also declined significantly, falling to $660bn from a peak of $930bn in September 2024, according to BNP Paribas. Analysts attribute the decline to currency weakness and rising macroeconomic risks linked to sustained high oil prices.
Reliance Industries has not been immune to these pressures. Analysts at Jefferies recently cut their earnings forecast for the company by 6 percent, citing weaker profitability in its oil-to-chemicals division. The downgrade reflects higher crude premiums relative to Brent benchmarks and increased freight costs, which have eroded margins in its core business.
Although Ambani has pursued diversification into retail, renewable energy, media, and technology, petrochemicals still account for more than half of Reliance’s revenue. The company’s shares have fallen 14 percent so far this year, underscoring investor concerns about its exposure to volatile energy markets.
Adani Group stocks, meanwhile, have largely outperformed the broader Indian market. Shares in its ports and power businesses have gained despite a 7 percent decline in the benchmark Nifty 50 index. The group continues to pursue ambitious expansion plans, including new airport developments and large-scale investments in renewable energy infrastructure.
The contrast between the two billionaires has become more pronounced in recent years. Adani briefly surpassed Jeff Bezos as the world’s second-richest individual in 2022 before facing severe market turbulence following allegations by US short seller Hindenburg Research. The report accused the group of stock manipulation, fraud, and accounting irregularities, leading to a sharp decline in share value and personal wealth.
Both Adani and his conglomerate have consistently denied wrongdoing. However, the fallout from the allegations was compounded in 2024 when US prosecutors brought criminal charges against Adani and his nephew, alleging involvement in bribery schemes linked to Indian renewable energy contracts. The charges also included securities fraud related to disclosures during a 2021 bond issuance.
Legal proceedings remain ongoing, with Adani’s lawyers seeking dismissal of the case and challenging the jurisdiction of US courts over Indian-based executives. They argue there is no credible evidence supporting the allegations.
Despite these legal challenges, Adani has maintained a defiant public stance. In previous remarks to shareholders, he has described leadership as being forged in crisis rather than comfort, a sentiment that has resonated with supporters of his business strategy.
As geopolitical uncertainty continues to affect global markets, analysts expect fluctuations in the fortunes of both billionaires to persist. However, as one market observer noted, the current environment appears to favour Adani’s diversified, infrastructure-led empire, while placing sustained pressure on Ambani’s energy-dependent model.
