Geopolitical Tensions Halt India's IPO Boom as Citi and Nomura Cut Nifty 50 Targets

The conflict involving Iran is significantly impacting India's previously booming initial public offering (IPO) market, leading several companies to pause their listing plans. Despite India being the world's most active IPO market in 2025, the current geopolitical instability has forced a shift in sentiment. Major global brokerages, including Nomura and Citi, have responded by cutting their 2026 targets for the Nifty 50 index. Analysts expect the ongoing war to slow India's overall economic growth and weigh heavily on corporate earnings. This cooling of sentiment reflects the broader risks associated with geopolitical spillover in key emerging markets. Consequently, investors are reassessing their exposure to Indian equities amid heightened uncertainty.