India’s economy continues to demonstrate its resilience, with the World Bank upgrading its FY25 GDP forecast to 7%. This optimistic outlook is fueled by a robust services sector, rising capital expenditure, and a surge in private consumption. Meanwhile, the Adani Group is making headlines with its ambitious plans to acquire multiple fast-moving consumer goods (FMCG) businesses. The group’s FMCG arm is actively pursuing deals with at least three spice, ready-to-cook foods, and packaged edibles brands in south and east India. This aggressive expansion strategy follows the group’s impressive comeback this year, marked by substantial investments across various verticals, from cement to power.
As the festive season approaches, India’s quick commerce startups are gearing up to capture a significant share of the shopping spree. Blinkit, Zepto, and Swiggy Instamart are expanding their product portfolios to include more expensive items like earphones, toasters, and induction cooktops, creating a formidable challenge for established players like Amazon and Flipkart. These platforms are also focusing on expanding their product categories and store networks to cater to the growing demand during the festive season.
The upcoming Goods and Services Tax (GST) Council meeting on Monday will likely address the 18% tax slab on health and life insurance premiums. The government has collected substantial revenue from these premiums over the past three years, but concerns about public health are prompting a re-evaluation of the tax rate. The council is expected to debate the merits of reducing the tax rate, balancing revenue generation with public health considerations.
In a positive development for financial inclusion, the Securities and Exchange Board of India (SEBI) has announced plans to introduce smaller-range Systematic Investment Plans (SIPs) for mutual fund investors. This initiative, undertaken in collaboration with the mutual fund industry, aims to make mutual fund investments more accessible to a wider range of individuals. Currently, SIPs have a minimum monthly investment requirement of ₹500. The introduction of smaller-range SIPs is anticipated to encourage greater participation in mutual fund investments.
On a global stage, India has made its mark at the Paralympic Games in Paris, securing a record-breaking 25 medals, including 5 gold medals. This achievement is a testament to the dedication and talent of Indian athletes, who have excelled in archery, athletics, and badminton. The success of Indian Paralympians is also attributed to the remarkable advancements in assistive technology, which has ensured fair competition and inclusivity in Paralympic sports.
India’s industrial sector exhibited a mixed performance in August. While the manufacturing Purchasing Managers’ Index (PMI) slowed to a three-month low of 57.5, the services PMI reached a five-month high of 60.9. Both indices remain above the 50-mark, indicating expansion in both manufacturing and services activities. The slowdown in manufacturing was attributed to softer demand and a decline in new business orders, while the services sector saw robust growth driven by an increase in new orders, particularly from domestic businesses.
The Indian real estate market has achieved a significant milestone, achieving its highest level of transparency in the Global Real Estate Transparency Index, compiled by JLL. India climbed to 31st position from 36th in the previous edition of the report, based on data from Tier-I cities. This improved ranking reflects the ongoing efforts to enhance transparency and accountability in the real estate sector, fostering a more investor-friendly environment.
