During an official visit to Japan, a Karnataka government delegation secured fresh investment commitments from Japanese companies. Air Water will set up its second unit near Bengaluru after its Vijayanagar facility and is exploring biogas production using cow dung and iron pulp. Shinko Nameplate announced a unit near Bengaluru with an investment of INR 100 crore for decorative vehicle parts. Toyota Group's Cataler will expand its Bidadi operations with an additional INR 140 crore by 2030. Saginomiya expressed interest in establishing a unit in the state. The delegation also met Japanese firm Konoike for joint venture opportunities and visited the Osaka World Expo 2025 pavilions to study collaboration prospects.Read more

The Ministry of Mines has confirmed that several mining-sector products, including marble, granite, lime bricks, and stone inlay work, will now attract a reduced GST rate of 5 per cent instead of 12 per cent. This is expected to lower construction costs, particularly in rural housing projects. Household items such as brass stoves, aluminium utensils, and copperware, along with handicrafts, will also become cheaper. The GST on multimodal transport of goods has been cut as well, which will benefit iron ore and mineral movement. These changes come under the GST Council's recent overhaul, with new rates applying from next week.Read more

India faces steep tariffs of up to 50 per cent from the US, including a 25 per cent penalty on crude oil imports from Russia, which could affect GDP growth by around 0.2-0.3 per cent this financial year. Chief Economic Adviser V Anantha Nageswaran said that the recent GST reforms would help offset these impacts by boosting domestic demand. The reforms include a move to a two-slab system of 5 per cent and 18 per cent, along with a 40 per cent rate on luxury and sin goods, making nearly 400 products cheaper. Key sectors like textiles, gems, leather, and machinery are most affected, while pharma, energy, and electronics remain largely exempt.Read more

Fitch Ratings has upgraded India's GDP growth forecast for the current fiscal year to 6.9%, citing robust growth in the April-June quarter and strong domestic consumption. This is the first upward revision by a global agency after earlier downgrades due to trade uncertainties. While trade tensions with the US and higher tariffs pose challenges, government reforms in the Goods and Services Tax are expected to support consumer spending. Growth is projected to moderate in the second half of the fiscal year, with future fiscal years seeing slower, yet steady expansion.Read more

Bond prices climbed recently after the Finance Minister reaffirmed that the borrowing strategy will stay unchanged and the fiscal deficit target of 4.4% of GDP remains within reach. The 10-year benchmark yield eased slightly from its previous week's close. Market players anticipate a smoother supply plan, with hopes that long-dated borrowing may ease in the second half. Swap rates edged lower as fiscal concerns abated, while attention turns to upcoming inflation data both domestically and in the U.S. Supportive global cues and central bank measures also helped ease market tension.Read more

The Goods and Services Tax (GST) on biogas plants and devices has been reduced from 12 percent to 5 percent, a step that is expected to make projects more viable and attract fresh investments. The GST Council, in its recent meeting, also decided to restructure the overall tax system by cutting rates on 375 items and reducing slabs from four to two. The Indian Biogas Association said the reduction in GST will bring down costs, encourage wider adoption, and could result in USD 4-5 billion of private investment in the compressed biogas sector by 2030.Read more

The Odisha government has decided to distribute work orders for 50,000 houses under the Antyodaya Gruha Yojana, marking the latest step in its effort to provide permanent housing to the poorest households in the state. The scheme, launched by Chief Minister Mohan Charan Majhi earlier this year in Kalahandi, focuses on families living in extreme poverty, persons with disabilities, individuals affected by leprosy, and those without proper shelter in rural areas. Panchayati Raj Minister Rabi Narayan Naik stated that the programme was designed to reach groups that often fall outside the coverage of other housing schemes.Read more

The Indian rupee traded almost unchanged as investors awaited key U.S. labour market data. Treasury yields fell to four-month lows, reflecting expectations of a Fed rate cut later this month. Analysts suggest that weak U.S. employment figures may ease pressure on the rupee, but meaningful gains are unlikely without higher equity inflows or tariff relief. With current U.S. tariffs on Indian exports at 50%, the rupee could weaken further, potentially reaching 89 against the dollar by early 2026 if trade barriers remain.Read more

India's economy grew at 7.8 per cent in the first quarter of 2025, exceeding expectations despite global uncertainties and challenges arising from economic self-interest. Prime Minister Shri Narendra Modi highlighted that growth was visible across all major sectors, including manufacturing, services, agriculture, and construction, reflecting increased energy and activity in industries and among citizens. India has remained the fastest-growing major economy, outpacing China, while the US economy grew by 3.3 per cent. The Prime Minister also hinted at a new phase of next-generation reforms, including possible cuts in the goods and services tax on widely used products.Read more

Wipro has announced the acquisition of HARMAN's Digital Transformation Solutions (DTS) business unit for up to USD 375 million. The all-cash transaction will see more than 5,600 DTS employees from 14 countries, including key leadership, transition to Wipro. The acquisition is designed to enhance Wipro's AI-powered digital engineering capabilities and will be followed by a multi-year strategic agreement with HARMAN and Samsung, opening new avenues for joint innovation and growth. This deal, one of Wipro's largest in the ER&D space, is expected to close by December 31, 2025, subject to regulatory approvals.Read more