India Must Accelerate Energy Security & AI Leadership Amid Geopolitical Uncertainty: Nilesh Shah

New Delhi, May 27, 2026: The PHD Chamber of Commerce and Industry (PHDCCI), in association with the Indian Institute of Banking & Finance (IIBF), organised a conference on “Geopolitical Shocks & Financial Stability: Impact of the West Asia Conflict and the Role of the BFSI Sector in Building Resilience” at PHD House, New Delhi.
Addressing the conference, Chief Guest Nilesh Shah said the ongoing West Asia conflict has highlighted India’s economic vulnerabilities, particularly its dependence on imported oil. He underscored the importance of strengthening long-term economic resilience. He said that rising crude prices, rupee depreciation, slowing GDP growth, and foreign investor outflows are creating near-term pressures on the economy. However, he emphasised that India’s strong domestic demand, ongoing reforms, and focus on energy diversification and technological advancement position the country well to navigate global uncertainties and sustain long-term growth.  
Shah stressed that India must accelerate investments in energy security, renewable energy, electric mobility, battery storage, and domestic rare earth capabilities to reduce external dependence. Drawing parallels with the Green Revolution, he said India has the opportunity to transform itself into an energy-resilient economy through innovation and long-term planning.
Highlighting the transformative impact of artificial intelligence, Mr Shah said India has the potential to emerge as a global AI leader despite challenges facing the IT and BPO sectors. He advocated strategic collaborations with countries such as Japan, Germany, France, and the UK to build diversified and secure AI ecosystems.
He also emphasised the need to unlock domestic capital through innovative gold monetisation products, reduce compliance burdens, improve infrastructure competitiveness, and create a more enabling environment for entrepreneurs and MSMEs.
During the interaction session, Shah observed that foreign investors remain cautious due to valuation concerns, competing global opportunities, and the absence of a dominant AI narrative in India. He also supported a review of the coexistence of Securities Transaction Tax (STT) and capital gains taxation.
Speaking at the conference, Gurmeet Chadha, Chair, BFSI Committee, PHDCCI & Managing Partner & Chief Investment Officer, Complete Circle Wealth Solutions LLP, highlighted the economic impact of geopolitical instability, including supply chain disruptions, rising raw material costs, and increased working capital pressures on businesses. He cautioned that prolonged instability could impact industrial production, profitability, and financial stability.
Mr Chadha emphasised the importance of reducing non-essential imports, strengthening energy security, and enhancing India’s domestic financial resilience. He also highlighted emerging opportunities in maritime insurance and appreciated the growing role of domestic institutional investors in stabilising Indian markets during periods of foreign capital outflows.
Earlier, Sanjeev Gupta, Co-Chair, BFSI Committee, PHDCCI & Managing Director, NEXGEN Financial Solutions Pvt. Ltd., welcomed the participants and described the conference as highly relevant in view of evolving geopolitical risks and their impact on trade, inflation, energy prices, and investor sentiment. He underlined the critical role of the BFSI sector in strengthening economic resilience and supporting MSMEs amid global uncertainties. He reiterated PHDCCI’s commitment to fostering industry dialogue and strengthening India’s financial resilience amid evolving geopolitical and technological challenges.
The technical session featured eminent experts, including Raman Agarwal, Co-Chair, BFSI Committee, PHDCCI & CEO, FIDC; Dr S K Gupta, Managing Director, ICMAI Registered Valuers Organisation and CEO, ICMAI Social Auditors Organisation; Raj Gautam, Professor, NIIT University; Ajay Kaistha, Director, Azrayaa Consultancy LLP; and Ashish Agrawal, Co-Chair, BFSI Committee, PHDCCI & Director, Resurgent India. The experts deliberated on market volatility, oil price shocks, inflationary pressures, liquidity management, insurance preparedness, fintech-led resilience, and regulatory responses.
At the commencement of the conference, Shalini S. Sharma presented a memento to the Chief Guest, Nilesh Shah, in recognition of his insightful address and valuable contribution to the discussions.  
Babeeta Sharma, Director, PHDCCI welcomed the participants and mentioned that the conference is of immense importance at this current situation of and impact of Geopolitical shocks like energy market crises, logistics disruptions etc need immediate action. She also moderated the program effectively.