Investments in India are set to grow faster than consumption in FY26, driven by government and RBI measures. GDP growth is expected between 6.5-7%, with improving rural consumption and higher government spending bolstering economic activity. Private investments remain stable due to strong corporate order books, while nominal GDP growth could rise to 10-11%.
Related news
Foreign funds have withdrawn over Rs 1 lakh crore from the Indian stock market in 2025, impacting investor sentiment and causing the rupee to weaken. This outflow, combined with a strong dollar and rising US bond yields, has led to an ongoing market decline and increased volatility.
Standard Glass Lining Technology Ltd's IPO saw a remarkable 182.57-times subscription with heavy demand from QIBs, non-institutional investors, and retail individual investors. The IPO aimed to raise funds for debt repayment, investment in its subsidiary, strategic investments, and machinery purchases. The shares will be listed on BSE and NSE.
Telangana Minister Duddilla Sridhar Babu requested Union Minister G Kishan Reddy to help establish a vaccine testing center in Genome Valley, Hyderabad. Currently, vaccines must be sent to Himachal Pradesh for testing, which is time-consuming and resource-intensive. Sridhar Babu emphasized the need for local testing facilities as promised by Prime Minister Narendra Modi post-COVID.
LG Electronics India, a subsidiary of LG, has received approval from Sebi for a Rs 15,000 crore initial public offering. This IPO will involve the parent company selling over 10.2 crore shares, representing a 15% stake. The funds raised will go to the South Korean parent company, as the IPO is an offer for sale.
Technology stocks surged following a temporary pause in tariffs on phones, computers, and consumer electronics, announced by the Trump administration. Apple shares notably climbed, and Asian tech stocks experienced a boost. Despite the positive market reaction, officials cautioned that tech tariffs are still anticipated in the near future, creating uncertainty about ongoing trade negotiations with China.
The commerce ministry in India is expected to seek an extension of the interest equalisation scheme for five more years in the upcoming Budget. This scheme assists exporters in obtaining competitive rupee export credits, particularly benefiting MSMEs during challenging economic times. Exporters and organizations like FIEO are supporting the extension, emphasizing its importance for maintaining competitiveness.
IndusInd Bank has identified valuation losses in its forex derivative contracts that could impact its net worth by up to 2.4%, or around Rs 1,530 crore. The bank has assured that the losses pertain to FY24 and earlier, and they are working with an external adviser to review and address these discrepancies.
Wholesale price inflation eased to a three-month low of 1.89% in November, primarily due to falling food prices, especially vegetables. Experts predict a 0.25% interest rate cut by the RBI in February. While manufactured product inflation rose slightly, overall inflation is expected to remain within the target range, approaching 4% by March 2025.
One in five ultra-wealthy Indians with net worth over Rs 25 crore consider settling abroad for better investment and tax advantages, according to Kotak Mahindra Bank’s survey. A significant number are acquiring overseas real estate and diversifying portfolios globally. Succession planning and healthcare spending are rising priorities, driven by the pandemic. Education and collectibles also see increased interest.
India's domestic aviation industry is set to incur a net loss of Rs 2,000 to Rs 3,000 crore in the coming fiscal years due to ongoing supply chain issues and engine problems. While passenger traffic saw growth, the pace is expected to slow in FY25. International passenger traffic is forecasted to increase by 15-20% in FY25.