📈 China's Fall, India's Rise

Tuesday, July 11^th, 2023

Good Morning ☕

Move over dragons, it's time for the elephants to shine! With India overtaking China as the top choice for investing in emerging market debt, it's clear that the elephant is trumpeting its way to the forefront of global investors' minds. Looks like the Taj Mahal isn't the only thing that's captivating the world's attention now!

India has overtaken China as the most attractive emerging market for investing in emerging market debt, according to a report by Invesco. The report cites India's strong economic growth, stable political environment, and improving fiscal position as reasons for its attractiveness.

Important News of the Day

1. No amicable settlement between SpiceJet and Maran: Sun Group

Sun Group-owned KAL Airways has denied reports of an amicable settlement with SpiceJet over pending dues. The dispute originated in 2015 when Maran and KAL Airways transferred their 58.46% stake in SpiceJet to Ajay Singh. In 2017, Maran and KAL Airways moved to the Delhi High Court seeking to recover dues worth Rs 1,500 crore from SpiceJet. The Supreme Court directed SpiceJet to pay Rs 75 crore to KAL Airways and Kalanithi Maran within three months for its interest. The deadline for payment was July 7, 2023, and the Supreme Court denied more time to SpiceJet to pay the amount.

2. Adani-Hindenburg case: SEBI files affidavit, seeks ‘appropriate orders’ from SC

The Securities and Exchange Board of India (SEBI) has filed a 41-page affidavit in the Supreme Court in the Adani-Hindenburg case and has sought "appropriate orders" from the apex court. The case is related to allegations made by Hindenburg Research that Adani Group companies had inflated the value of their assets and that some of the companies were under investigation by SEBI since 2016. In May, the Supreme Court granted SEBI time till August 14 to complete the probe.

3. Four Indian-origin biz leaders in 2023 Forbes' 100 richest self-made women list

Four Indian-origin women have made it to Forbes' list of America's 100 most successful self-made women in 2023. Jayshree Ullal, President and CEO of cloud networking firm Arista Networks, is the richest of all Indian American business women with a net worth of $1.9 billion. Indra Nooyi, former CEO of PepsiCo, is ranked 10th on the list with a net worth of $1.2 billion. Neerja Sethi, co-founder of Syntel, is ranked 25th with a net worth of $990 million. Kiran Mazumdar-Shaw, founder of India's largest listed biopharmaceutical, is also on the list.

4. CM issues evacuation orders once Yamuna touches 206-m mark

The water level in the Yamuna river in Delhi is rising and is expected to surpass the danger mark of 205.33 meters. However, Chief Minister Arvind Kejriwal assured the public that the possibility of floods in Delhi is highly unlikely, citing expert predictions. The Central Water Commission (CWC) said that there is no need to panic as the situation is under control. Kejriwal called a meeting to discuss the situation.

5. SC dismisses plea challenging exchange of ₹2K notes without ID proof

The Supreme Court of India dismissed a plea challenging the exchange of Rs 2,000 notes without proof of identity. The plea was filed by a lawyer, Ashwini Upadhyay, who argued that the government's decision to allow the exchange of Rs 2,000 notes without proof of identity was unconstitutional. The bench of Chief Justice D Y Chandrachud and Justice P S Narasimha dismissed the appeal filed by Upadhyay in his personal capacity. The court cited the government's executive policy decision and the Reserve Bank of India's notifications allowing the exchange of Rs 2,000 notes without ID proof.

6. G20 working group places culture at the heart of policymaking: Pralhad Joshi

The G20 Culture Working Group (CWG) has identified four priority areas: Protection and Restitution of Cultural Property; Harnessing Living Heritage for a Sustainable Future; Promotion of Cultural and Creative Industries and Creative Economy; and Leveraging Digital Technologies for the Protection and Promotion of Culture. The CWG meeting held in Karnataka on July 10, 2023, discussed the importance of culture in policymaking and identified the same four priority areas. The CWG aims to promote cultural diversity, preserve cultural heritage, and leverage digital technologies for the protection and promotion of culture.

Breaking News: The Scoop You Can't Miss!

1. Dunzo delays 50% salary this month, employee says, ‘rumours of restructuring…’

Dunzo, a hyperlocal quick commerce company backed by Reliance and Google, has reportedly deferred 50% of salaries for employees in manager-level positions and above due to a cash crunch. The company had laid off 3% of its workforce in January 2023 as part of a restructuring exercise. This is the second time in three months that Dunzo has laid off employees, with the company firing 30% of its staff in April 2023 ahead of a business model shift.

2. Tata Motors becomes 16th most valued automaker, beats Kia Corporation m-cap

Tata Motors has become the 16th most valued automaker in the world, overtaking Kia Corporation for the first time since September 2018. With a market valuation of $27.15 billion, Tata Motors is now positioned just below Hyundai Motor. Tata Motors is the largest automotive manufacturer in India and has become the first Indian automaker to cross the 1 million annual sales mark. However, Mahindra & Mahindra has become the second most-valued automobile company in India after Maruti Suzuki India, overtaking Tata Motors.

3. Serentica inks pact with Greenko Group to source 1500 MW of green energy a day

Serentica Renewables has signed an agreement with Greenko Group to source 1500 MW of green energy a day. The power will be sourced from Greenko Group's upcoming energy storage projects in Andhra Pradesh and Madhya Pradesh and supplied to industrial clients. This contract will enable Serentica to deliver round-the-clock, firm, and dispatchable renewable energy to its various industrial clients. Long duration energy storage is critical to decarbonizing the country's energy consumption and reducing greenhouse gas emissions.

4. Indian pharma industry to hit $57 billion by FY25

The Indian pharmaceutical industry is expected to reach $57 billion by fiscal year 2024-25, with a likely growth rate that ranges between 7 and 8 percent, according to a report by CareEdge Ratings. The domestic pharma industry grew by 5% in FY23 to $49 billion. The medical device industry is also expected to grow, reaching $50 billion by 2030 with a CAGR of 15% . The total market size of the Indian Pharma Industry is expected to reach $130 billion by 2030. The Ministry's scheme “Strengthening of Pharmaceutical Industry (SPI)" extends support to existing pharma clusters and MSMEs across the country to improve their productivity, quality, and sustainability.

5. CBI arrests Noida-based Tirupati Infraprojects’ CMD in bank fraud case

The Central Bureau of Investigation (CBI) has arrested Jag Mohan Garg, the Chairman and Managing Director of Tirupati Infra-projects Pvt Ltd, in a bank fraud case involving an amount of Rs 1,394 crore. The arrest was made on July 10, 2023, and is part of an ongoing investigation into the case.

World News 🌎

• 300 migrants traveling in 3 boats from Senegal to Spain are missing: Walking Borders

• Putin met Wagner’s Prigozhin days after mutiny.

• Indian-origin employee wins Rs2.5 cr in largest compensation from Royal Mail, UK

• US President Joe Biden meets UK's Rishi Sunak ahead of NATO Summit

• Journalist drags CNN to court over discrimination

• China: 6 dead, 1 injured in kindergarten stabbing

• Twitter ‘relocates’ users of Pakistani region to India, user

• China’s inflation rate slows to zero as deflation concerns mount

• BRICS summit to be 'physical' despite arrest warrant against Putin: South Africa

• Ukraine is not ready for NATO membership, says Joe Biden

Trendy Hashtags of Twitter #️⃣

#BRICS: Russia has confirmed that the BRICS countries (Brazil, Russia, India, China, and South Africa) will create a gold-backed currency. According to state-run RT, the currency is set to launch in August 2023 in South Africa. This move is seen as a viable alternative to the US dollar and could be a shock to the global fiat money system. The creation of a gold-backed currency is significant because it provides a level of stability and security that is not present in fiat currencies, which are not backed by any physical commodity. The use of gold as a backing for currency has a long history and is seen as a way to prevent inflation and protect against economic instability.

The BRICS countries are among the largest economies in the world and have been working to increase their economic cooperation and reduce their dependence on the US dollar. The creation of a gold-backed currency is seen as a way to further this goal and increase their economic independence. The move is also significant because it challenges the dominance of the US dollar as the world's reserve currency.