Centre's Generous Aid: ₹7,532 Crore for Disaster Response

Thursday, July 13^th, 2023

Good Morning ☕

With this substantial release of funds, the Centre is making it rain on the state governments, ensuring they have the resources to weather any storm. It's great to see disaster response and relief measures being given such a significant boost. Let's hope these funds bring a much-needed umbrella of support to those affected by disasters.

Important News of the Day

1. Centre approves release of ₹7,532 crore to 22 states under Disaster Response Fund

The Centre has approved the immediate release of Rs 7,532 crore to 22 state governments for the State Disaster Response Fund (SDRF). This allocation is based on the recommendations of the 15th Finance Commission and is part of the Rs 1,28,122.40 crore allocated for the SDRF for the years 2021-22 to 2025. The SDRF is aimed at providing financial assistance to states for disaster response and relief measures. The release of funds will help the state governments in their efforts to tackle and mitigate the impact of disasters.

2. Reliance Jio in talks with foreign banks for over $1 bn loan to purchase 5G network

Reliance Jio, one of India's leading telecom operators, is reportedly in talks with foreign banks to secure a loan of over $1 billion for the purchase of a 5G network. This move indicates Jio's aggressive strategy in the 5G rollout, as it aims to expand its coverage across 1000 Indian cities. The competition in the Indian 5G market is heating up, with rival telcos like Airtel also vying for dominance. Jio has been offering free services to users with 5G-enabled devices and has introduced various 5G recharge and postpaid plans to attract customers. The 5G war between Jio and Airtel is intensifying, with both companies launching their 5G services and expanding their coverage.

3. TCS attrition rate declines to 17.8%, 523 employees added in June Quarter

According to a report from LiveMint, Tata Consultancy Services (TCS) has seen a decline in its attrition rate, which now stands at 17.8%. The company also added 523 employees in the June quarter and provided a 12-15% hike to its top performers. This news comes after TCS had previously reported a marginal dip in its attrition rate to 21.3% in the previous quarter. However, it is worth noting that TCS has observed an increase in attrition among women employees since the end of work-from-home arrangements, with the attrition rate for women now higher than that for men.

4. Yamuna records highest-ever water level; CM Kejriwal calls emergency meeting

The Yamuna river in Delhi has reached its highest-ever water level, reaching 207.25 meters and nearing the all-time record level of 207.49 meters set in 1978. The rising water levels have triggered fears of floods in the city. The situation is concerning as the water level is precariously close to the record level. The high flood level is 207.49 meters, and the water level at the Old Railway Bridge was recorded at 206.04 meters. The city is bracing for more rain, and authorities are closely monitoring the situation.

5. India's index of industrial production up to 5.2% in May 2023

According to the article from LiveMint, India's Index of Industrial Production (IIP) increased by 5.2% in May 2023. This growth in industrial production indicates positive momentum in the Indian economy. However, it is important to note that the March 2023 IIP had only gone up by 1.1%, falling short of market expectations. The IIP measures the change in the total value of output produced by manufacturers, mines, and utilities. The increase in production was observed in sectors such as cement, fertilizers, steel, coal, and refinery products. This growth in industrial production is a positive sign for India's economic development.

Breaking News: The Scoop You Can't Miss!

1. 'Let's work together…': Kejriwal writes to Amit Shah amid Delhi flood threat

Delhi Chief Minister Arvind Kejriwal has written a letter to Union Home Minister Amit Shah seeking intervention as the water level of the Yamuna River in Delhi continues to rise. Kejriwal expressed concern about the possibility of flooding in Delhi and urged Shah to ensure that water from the Hathnikund Barrage is released at a limited pace to prevent a potential disaster. The water level in the Yamuna River has already crossed the danger mark, reaching 207.55 meters. Kejriwal emphasized that a flood in Delhi would not send a good message to the world and requested the Centre's intervention to address the situation.

2. Bad news for Infosys employees: IT major defers salary hikes

Infosys, one of India's largest IT services companies, has deferred salary hikes for employees below the senior management level. The company typically rolls out salary hikes from April, but this year, it has decided to defer them. Several employees have confirmed the news, and sources within the company have also confirmed the same. This news comes as a disappointment to employees who were expecting a salary hike this year.

3. Passenger vehicle sales rise 2% YoY in June, on the back of demand for UV

According to a report from LiveMint, passenger vehicle sales in the United States have risen by 9.4% year-on-year, driven by the demand for utility vehicles. This increase in sales is reflected in the market share, with SUV and truck sales accounting for 78.2% of the market share. The rise in sales is attributed to improved vehicle inventories and increased sales from automakers such as General Motors, Ford, and Stellantis. Similarly, in China, passenger vehicle sales increased by 9.4% in March. In India, passenger vehicle sales in June saw a climb due to the demand for new models, particularly in the utility vehicle segment. Overall, the global market for passenger vehicles is showing positive growth, driven by the demand for utility vehicles and new models.

4. 'India is super fun': Ashneer Grover slams govt over 28% GST on online games

Ashneer Grover, co-founder of CrickPe and former BharatPe founder, has criticized the Indian government's decision to impose a 28% Goods and Services Tax (GST) on online gaming companies. He called the decision unconstitutional and stated that it will have a detrimental impact on the online gaming industry, estimating a loss of $10 billion. Grover believes that it is now time for startup founders to enter politics in order to address such policy decisions. His comments came after the GST Council's decision to levy the tax on the full face value of bets in online gaming.

5. Razorpay launches first international payment gateway in Malaysia through Curlec

Razorpay, an Indian fintech company, has launched its first international payment gateway in Malaysia through a partnership with Curlec. The new Curlec Payment Gateway aims to serve over 5,000 businesses in Malaysia and has a target of RM 10 billion ($2.1 billion) in annualized Gross Transaction Value. This payment gateway will provide Malaysian businesses with a simplified process for payment collection, automated payouts, and increased empowerment. The launch of this international payment gateway strengthens Razorpay's presence in the Malaysian market.

World News 🌎

• Google faces lawsuit over copyright infringement, data scraping for AI expansion.

• After Koran burning in Sweden, UN approves Pakistan-led motion on religious hate.

• Canadian watchdog probes Nike, gold mining company amid forced labour claims.

• Pakistan's auto industry in crisis; Only 6,034 cars sold in June this year

• France: India showcases military excellence for parade practice

• North Korea fires unspecified ballistic missile, 12th this year

• China strongly opposes NATO's expansion into Asia-Pacific region

• Donald Trump loses immunity in E. Jean Carroll defamation suit

• Nato on Ukraine: Zelenskyy calls the decision 'unprecedented and absurd’

• Reddit triumphs as WallStreetBets founder's lawsuit crumbles

Entrepreneur of the Day👨‍💼

Girgit is a color changing apparel brand and manufactures variety of apparel products for men’s, women’s and kids. The products of this brand change their colors after coming under the attraction of some specific thing. They have designed a water shorts which changes color when it comes in contact with water. They have designed products from various apparels categories.

Girgit founder Pooja Bajaj Shah and her husband Binoy Shah started this business in 2021. Pooja came up with this business idea during the Covid-19 Pandemic and after 3 months of research, she launched Girgit Store.

They are India’s first color-changing products store. They manufactured products for both kids and adults. In just 1 year they had sold 3000 products and had 1800 happy customers. Due to the temperature change the print of the clothes also changes. Initially, they started with kid’s products letter due to feedback they manufacture adult products also. They sell kid’s footwear at ₹2000 and adult footwear at ₹3000.

Girgit Color Change Product Company secured a deal on the renowned investment show Shark Tank, wherein Namita Thapar made a 20% equity investment. This venture marks India's inaugural foray into the realm of color-changing apparel products.

Numerous prominent global brands have ventured into the domain of color-changing merchandise. Notably, Nike introduced color-changing sneakers in the sneaker market. These sneakers exhibit a transformation to purple and blue hues when exposed to sunlight.

Namita Thapar made a substantial investment of ₹20 lakhs in Girgit Color Change Product Company, whose total sales over the course of one year amounted to ₹58 lakhs. In the months of June, July, and August 2022, the company achieved sales totaling ₹21 lakhs. Following the broadcast of the Shark Tank India episode, the company's website witnessed a significant influx of visitors.

Girgit Stores Company currently holds a valuation of ₹1 Crore. Despite initially seeking a valuation of ₹2 crores after their appearance on Shark Tank India, the final deal was struck at a valuation of ₹1 crore, taking into account the company's annual sales figures.

Color-changing products constitute a niche category, particularly favored by children. Such products are expected to perform exceptionally well in kids' stores like Hopscotch and Firstcry.

This business was established in 2021 and has experienced remarkable sales growth within its first year of operation. According to the founder, the majority of sales are generated through WhatsApp marketing, with a monthly marketing budget of only ₹30,000.

The business has garnered significant attention, with numerous individuals becoming aware of its existence. It is anticipated that new startups will emerge in this specific market segment, leading to increased competition within India.

The company's headquarters are situated in Mumbai, Maharashtra, India, employing a staff of 2 to 5 individuals.