Imperilled Indians

The death of 13 Indians and the disappearance of three others in the unabating US-Iran conflict should end any illusion that this is merely another distant geopolitical crisis. For India, West Asia is not an abstract theatre of great-power rivalry but home to nearly nine million Indian expatriates. Every missile fired across the Strait of Hormuz carries the potential to claim Indian lives. While the Ministry of External Affairs has expressed concern, called for uninterrupted navigation and...

min read

The death of 13 Indians and the disappearance of three others in the unabating US-Iran conflict should end any illusion that this is merely another distant geopolitical crisis. For India, West Asia is not an abstract theatre of great-power rivalry but home to nearly nine million Indian expatriates. Every missile fired across the Strait of Hormuz carries the potential to claim Indian lives. While the Ministry of External Affairs has expressed concern, called for uninterrupted navigation and condemned attacks on commercial shipping, these statements are not enough. Indian seafarers have reportedly suffered the highest number of fatalities among all nationalities serving aboard commercial vessels caught in the conflict. Merchant sailors have become unwilling participants in a war that is not theirs. They continue to crew ships because global commerce cannot simply pause when missiles begin to fly. The burden of that reality now falls disproportionately on Indian workers. India’s foreign policy has long prided itself on strategic autonomy. In theory, that means avoiding entanglement in rival blocs while maintaining cordial relations with all sides. In practice, however, neutrality cannot become passivity when Indian citizens are paying with their lives. Protecting nationals abroad is not incompatible with diplomatic balance. It is among the first duties of any state. The conflict has also exposed a larger vulnerability. India’s dependence on the Gulf extends far beyond oil. Millions of Indians work across the region in construction, healthcare, shipping, logistics and services. Their labour underpins both Gulf economies and countless households back home. Every escalation places these workers at risk. Waiting until evacuations become necessary is an admission that diplomacy has already failed. New Delhi should therefore adopt a more assertive posture. It should intensify engagement not only with Washington and Tehran but also with Gulf capitals, pressing collectively for the protection of civilian shipping and maritime workers. It should work more actively through multilateral forums to reinforce international maritime law and freedom of navigation. Most importantly, it should make the safety of Indian nationals a central element of every diplomatic conversation concerning the conflict, rather than a humanitarian afterthought. India has legitimate strategic partnerships with the United States, Israel, Iran and the Arab Gulf states alike. Those relationships should provide leverage, not excuses for silence. Friends should be told uncomfortable truths when their actions endanger innocent civilians. The deaths of Indian seafarers are not collateral statistics to be acknowledged at weekly briefings before the news cycle moves on. They are evidence that global conflicts increasingly reach India’s doorstep through its citizens overseas. A nation aspiring to global influence cannot speak softly when its own people bear the costs of others’ wars. India has every reason to call for peace. It now has an even greater obligation to demand it with urgency, clarity and far greater diplomatic weight.

Zero-Cost EMI Isn't Always Zero Cost

Sayli Gadakh
23 hours ago
2 min read

There is no such thing as cost-free financing. If interest isn't explicitly charged, its cost has simply been embedded elsewhere.

Bharath, a 30-year-old software engineer, wanted to buy a premium smartphone priced at Rs 72,000. During an online festive sale, he noticed an attractive offer—"Zero-Cost EMI: Rs 6,000 per month for 12 months. "Believing there was no interest involved, he chose the EMI option without giving it much thought.

A few days later, Bharath visited another authorised retailer and found the same smartphone available for Rs 68,500 as a one-time payment with a bank discount. He realised that although the EMI carried 0 per cent interest, he would ultimately pay Rs 72,000 under the EMI scheme. The financing cost had not disappeared—it was simply hidden within the overall pricing structure.

This situation highlights a common misunderstanding among consumers. The phrase "Zero-Cost EMI" often creates the impression that borrowing is free. However, from a Chartered Accountant's perspective, every financing arrangement has an economic cost. The important question is not whether interest is separately charged, but where that cost has been absorbed.

In many promotional offers, the manufacturer or retailer bears part of the financing cost to encourage higher sales. In other cases, the cost is recovered through lower cash discounts, processing fees, compulsory insurance, bundled warranties, or higher product prices. While these practices may be transparently disclosed, many buyers focus only on the monthly instalment and overlook the total amount they will eventually pay.

As finance professionals, Chartered Accountants evaluate the substance of a transaction rather than its marketing presentation. A product should always be compared based on its effective purchase price instead of relying solely on promotional labels. If paying upfront results in a significantly lower price, the so-called "Zero-Cost EMI" may not be the most economical option.

Another concern is consumer behaviour. Easy monthly instalments often encourage spending beyond one's financial capacity. Instead of asking, "How much will this product cost me overall?" many consumers ask, "Can I afford this monthly EMI?" This mindset can gradually lead to multiple EMIs running simultaneously, reducing monthly savings and increasing financial pressure during emergencies.

Businesses use EMI schemes as a legitimate marketing strategy to improve sales and increase customer convenience. There is nothing inherently wrong with these offers when pricing and terms are disclosed clearly. However, consumers must make decisions based on the total cost of ownership, not merely on attractive advertisements.

Before choosing any Zero-Cost EMI, every buyer should compare the cash price with the EMI price, check for processing charges, read the terms carefully, and calculate the total amount payable over the repayment period. Spending a few extra minutes on these comparisons can save thousands of rupees.

Bharath's experience reminds us of an important financial lesson: Zero-Cost EMI does not always mean zero cost. The financing expense may not appear as interest, but it often exists elsewhere in the transaction. As Chartered Accountants, we believe that informed financial decisions begin with understanding the complete economic reality behind every offer. After all, the smartest purchase is not the one with the lowest monthly EMI, but the one that delivers the best overall value.

(The writer is a Chartered Accountant based in Thane.)