In response to the persistent divergence between credit and deposit growth, the government has called on public sector banks to mobilize deposits through innovative strategies. As of July 2024, credit growth stands at 15.1% year-over-year, significantly outpacing deposit growth

Recent concerns raised by the Commerce Ministry highlight a critical issue in India's e-commerce sector. While substantial investments are being made by e-commerce giants, questions linger about the tangible economic benefits resulting from these investments. A significant

Zomato has announced the acquisition of Paytm's ticketing business for Rs 2,048 crore (approximately $244 million). This deal, which includes the transfer of Paytm's Insider and TicketNew platforms, enables Zomato to acquire Paytm's position as the second-largest player in the

The recent Monetary Policy Committee (MPC) meeting held by the Reserve Bank of India (RBI) highlighted concerns about potential economic growth being sacrificed due to aggressive monetary tightening measures aimed at addressing inflation. Some members of the committee expressed

At the Jackson Hole Economic Symposium, an annual gathering of central bankers and economists known for setting the tone for future US monetary policy, Federal Reserve Chair Jerome Powell's recent speech has captured global attention. Powell's remarks have stirred the financial

In a significant development, India has begun selectively approving Chinese investment proposals in the electronics manufacturing sector. This move marks a cautious shift in India's stance towards Chinese investments, balancing economic opportunities with strategic concerns.

The recent announcement of the Unified Pension Scheme (UPS) for central government employees has sparked considerable debate, with many questioning its fiscal feasibility. However, contrary to the scepticism surrounding the UPS, a closer analysis suggests that it could

The Indian government's decision today to lift curbs on ethanol production from sugarcane and certain sugar by-products — initially imposed in December 2023 — has sparked positive momentum in the market, with major sugar stocks seeing gains of 3% to 7%. This policy shift is a

GST collections for August 2024 have reached ₹1.75 lakh crore, marking a significant year-on-year increase of 10%. This follows the record-breaking collection of ₹2.1 lakh crore in April 2024, indicating a strong start to the fiscal year. With the upcoming festive season,

In our post yesterday*, we explored how India's GST collections have reached record levels this year, growing at a pace that far outruns our economic growth as measured by GDP or GVA. Particularly striking is the growth rate of domestic GST (i.e. excluding import transactions),

India's sovereign bond market has recently witnessed a significant surge in foreign institutional investor (FII) inflows, following the announcement of their inclusion in the JP Morgan emerging market index. From a modest ₹94 thousand crore in September 2023, FII ownership of

Recent developments in India's garment manufacturing hubs of Tiruppur and Noida have sparked renewed optimism in the textile sector. European brands have significantly increased their orders, catching local manufacturers by surprise. This surge is attributed to the ongoing unrest

As India deliberates on the next phase of its Faster Adoption and Manufacturing of Electric Vehicles (FAME) scheme, there has been growing debate around whether continued subsidies for electric vehicles (EVs) are necessary. Concerns have been raised regarding the need for such

Foreign Direct Investment (FDI) inflows into India have shown a remarkable upswing since late August, coinciding with Federal Reserve Chair Jerome Powell's speech at the Jackson Hole symposium held during August 22-24, which set the stage for a potential fed rate cut in

Recent developments in the global oil market have captured the attention of economists and policymakers worldwide. Brent crude oil futures have plummeted to around ~$70 per barrel. This significant drop has been attributed to lingering demand concerns from China - the world's

We previously discussed* how Foreign Portfolio Investor (FPI) inflows into the Indian stock market have surged following the US Federal Reserve Chair's announcement last month, hinting at a potential interest rate cut. This has triggered renewed interest in emerging markets, with

The ongoing Semicon India 2024 conference is setting the stage for India's ambitious journey to become a global semiconductor hub. With the electronics manufacturing industry in India projected to grow from its current $75 billion to a staggering $300 billion by 2030, the focus

Recent developments in global trade, especially the imposition of higher tariffs on Chinese goods by Western economies, have increased pressure on China, potentially contributing to its changing posture and willingness to ease tensions with India. This shift is evidenced by the

India's merchandise export volumes may face significant headwinds in the July-September quarter due to global maritime disruptions and container shortages. This situation has been exacerbated by China's increased procurement of container volumes to expedite shipments to the US,