Budget May Offer Tax, Tariff Relief to Trigger Growth, Jobs

2025 budget to focus on tax relief, growth measures: The upcoming budget for 2025, set to be presented on February 1, is expected to include several measures aimed at supporting demand and propelling growth in light of the slowing economy, The Economic Times reports. These measures include tax relief for the middle class, tariff adjustments to shield domestic industry from external pressures, and initiatives to foster job creation and private investment. Discussions within the government have intensified with a focus on delivering a strong message on reforms and ease of doing business. Economic growth for FY25 is forecasted to slow to a four-year low of 6.4%, heightening the demand for effective measures. Tax relief under the new tax regime, simplification of corporate taxes, and adjustments to the tax deducted at source (TDS) are also being considered.

Rupee’s next big fall predicted

Economists predict rupee's next big fall in March, may hit 87 against US dollar: The Economic Times reports that economists at Standard Chartered, Deutsche Bank, and others predict the Indian rupee will depreciate to 87 against the US dollar by March 2025, with the possibility of it reaching this mark earlier if the tariff war escalates and the Reserve Bank of India (RBI) relaxes its intervention strategy. The rupee has already weakened by 1.6% since November 2024, driven by a stronger US dollar. While the rupee has fared better than other Asian currencies, its depreciation is likely to continue due to global pressures, including US exceptionalism and tariff threats. The RBI has intervened significantly, with $120 billion worth of interventions in the December quarter alone.

Rahul Gandhi slams Modi and Kejriwal

Rahul Gandhi promises caste census, calls out Modi, Kejriwal on inflation: In his first campaign speech for the Delhi Assembly elections, Leader of Opposition in the Lok Sabha, Rahul Gandhi, criticised Prime Minister Narendra Modi and Aam Aadmi Party (AAP) convenor Arvind Kejriwal for neglecting the rights of minorities and backward communities. Speaking at a rally in Seelampur, Delhi, Gandhi called for a caste census and vowed that the Congress would implement it if they formed the government in Delhi. He also accused the Bharatiya Janata Party (BJP) and the Rashtriya Swayamsevak Sangh (RSS) of fostering divisive politics and claimed the BJP and AAP had failed to address economic disparities. Gandhi also criticised both for making false promises about inflation, which he said remains high.

Complaint filed against Atishi for using government vehicle for election campaign: A complaint has been registered against Delhi Chief Minister and Aam Aadmi Party leader Atishi for allegedly using a government vehicle for election-related activities on January 8, violating the Model Code of Conduct. The vehicle, with registration number DL-IL-AL1469, was reportedly used for campaigning, breaching a directive from the General Administration Department (GAD), Government of National Capital Territory of Delhi (GNCTD), which prohibits the use of official vehicles for such purposes.

PM Modi reaffirms statehood promise at Sonamarg tunnel launch: During the inauguration of the 6.4 km Sonamarg tunnel, which will cut travel time between Srinagar and Leh, Jammu and Kashmir (J&K) Chief Minister Omar Abdullah on Monday praised Prime Minister Narendra Modi for his commitment to holding free and fair elections in the Union Territory (UT) and urged the PM to make good his commitment to restore the UT to statehood.PM Modi, in turn, called J&K the "crown of India" and reiterated his pledge to honour his statehood promise.

On Bharat Jodo Yatra anniversary Congress slams Modi for not visiting Manipur: Launching a scathing attack on Prime Minister Narendra Modi for not visiting violence-hit Manipur, the Congress on Tuesday said that he has found time, inclination and energy to go all over the world but has not seen it necessary to reach out to the distressed people in the northeastern state. The Congress' outburst came on the first anniversary of the launch of the 'Bharat Jodo Nyay Yatra' that began in Manipur. The Congress had launched Rahul Gandhi-led 'Bharat Jodo Nyay Yatra' from Manipur on January 14 last year aiming to put the spotlight on issues such as unemployment, price rise and social justice. (PTI)

India-Bangladesh tensions

India summons Bangladesh's envoy: India summoned Bangladesh's acting High Commissioner, Nural Islam, on Monday to address concerns over the stalled border fencing project, urging Dhaka to implement previous agreements aimed at preventing illegal activities along the border. While Bangladesh has halted work on the barbed wire fencing, India stressed its importance for securing the border and ensuring a crime-free zone. The meeting followed Bangladesh’s summoning of Indian High Commissioner Pranay Verma to discuss India's unapproved construction of fences, which Dhaka argued undermines bilateral relations. During the meeting with Islam, India conveyed that with regard to security measures at the border, including on fencing, India observed all protocols and agreements between the two countries and between the Border Security Force (BSF) and Border Guard Bangladesh (BGB).

General Dwivedi reaffirms India-Bangladesh military cooperation: India's Army Chief General Upendra Dwivedi stated on Monday that India and Bangladesh are "strategically important" neighbours, with any animosity not serving the interests of either nation. He noted that the military relationship remains strong, with ongoing contact between him and Bangladesh’s counterpart, General Waker-Uz-Zaman. Although joint military exercises are currently on hold due to the political situation in Bangladesh, General Dwivedi confirmed that cooperation continues through regular exchanges, including three Indian officers attending the National Defence College (NDC) course in Dhaka.

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Tata Electronics in talks with Xiaomi and Oppo for new manufacturing deals: Tata Electronics is negotiating with Xiaomi and Oppo to start contract manufacturing for the Chinese smartphone giants, moving away from its sole reliance on Apple, The Economic Times reports. This expansion could intensify competition with Dixon Technologies, which recently formed a joint venture with Vivo. Tata Electronics' strategy aims to position it as a significant player in the global electronics manufacturing services (EMS) ecosystem.

Groww plans IPO, eyes $6-8 billion valuation amid regulatory changes: Discount stock brokerage platform Groww is preparing for an initial public offering (IPO) within the next year, targeting a valuation of $6-8 billion, The Times of India reports. The Bengaluru-based fintech startup plans to raise $600-800 million through the offering, with new shares and offers for sale by existing shareholders split almost evenly. The IPO is set to be one of the largest in the sector, following regulatory shifts in the derivatives trading space. These changes, aimed at retail investors' trading in futures and options, have impacted revenues for brokers. Groww aims to file its IPO prospectus with SEBI soon and is expected to list before the year’s end.

Urban Company set to file for IPO, appoints top banks for listing: Mint reports that home services platform Urban Company is set to file draft papers for a ₹3,000 crore (approx. $362 million) IPO before the end of the March quarter. The company, backed by Prosus, has appointed Kotak Mahindra Capital, Goldman Sachs, and Morgan Stanley to manage the IPO. 

Warburg Pincus to launch $3-4 billion India-focused fund: Private equity firm Warburg Pincus is set to launch its first India-specific fund, aiming to raise between $3 billion and $4 billion, as reported by The Hindu Business Line. The firm, which has been investing in India since the 1990s, plans to increase its investments in the country. Managing Director, Head of Asia Private Equity and Co-Head Financial Services at Warburg Pincus, Vishal Mahadevia, had earlier mentioned that the firm invested around $5 billion in India over the past 4-5 years and intends to invest significantly more in the near future. The launch of the fund is reportedly imminent.

Zuckerberg’s thoughts on India’s elections

Vaishnaw hits back at Zuckerberg’s India election remark: Minister for Railways, Information and Broadcasting, and Electronics and Information Technology, Ashwini Vaishnaw, criticised Meta founder Mark Zuckerberg on Monday after he suggested most incumbent governments lost in 2024 elections, including in India. Vaishnaw took to X to dismiss Zuckerberg's statement as "factually incorrect," asserting that the Indian public reaffirmed their trust in the National Democratic Alliance (NDA) led by Prime Minister Narendra Modi. He highlighted the government's actions during the COVID-19 pandemic, including providing free food to 800 million people and 2.2 billion free vaccines, as evidence of strong governance. Vaishnaw also called for upholding facts and credibility, expressing disappointment at the misinformation from Zuckerberg.

Uttarakhand’s civil code

Live-in registrations mandatory as Uttarakhand implements Civil Code on January 26: Uttarakhand is set to introduce its Uniform Civil Code (UCC) on January 26 with mandatory requirements for live-in relationship registrations, video recordings for witnesses in testamentary successions, and the inclusion of photos and Aadhaar (Unique Identification Authority of India) details in all registrations. The state government commenced training for its officials on the UCC portal on January 12, as reported by The Indian Express. The session, held at Dehradun’s Doiwala Block Office, aims to familiarise officials with the portal, which offers services like marriage, divorce, live-in relationship registrations, succession matters, and complaint registration. The training will end on January 20.

IndiGo’s summer flights to Europe

IndiGo plans summer flights to Europe with Boeing 787 lease deal: India’s largest airline, IndiGo, has announced plans to expand its international reach by launching flights to Europe, with a focus on London, Paris, and Amsterdam starting this summer, The Economic Times reports. The airline has opened internal vacancies for airport manager and chief security officer roles at these airports. IndiGo has entered into an agreement with Norwegian carrier Norse Atlantic to lease up to six Boeing 787 aircraft, allowing it to enter the India-Europe market ahead of its planned Airbus A350-900 fleet delivery in 2027. This move positions IndiGo against Tata-owned Air India, which has been expanding its India-Europe services.

Satellite to monitor space objects

Bengaluru start-up to launch satellite to monitor space objects on board SpaceX rocket: Bengaluru-based start-up Digantara is set to launch the world's first commercial satellite for surveillance of objects as small as 5 cm orbiting the Earth to ensure safer space operations. Digantara's Space Camera for Object Tracking (SCOT) satellite is set for launch onboard SpaceX's Transporter-12 mission around Tuesday midnight from California. "With SCOT, we are taking a crucial step in achieving surveillance superiority, ensuring not only a safer and more sustainable space environment but also towards safeguarding sovereign assets in the face of an increasingly contested space domain," said Anirudh Sharma, Founder and CEO of Digantara Aerospace. (PTI)

Markets: Domestic benchmark indices, the BSE Sensex and Nifty50, rebounded on Tuesday after hitting seven-month lows in the previous session, supported by gains in banking, auto, and energy sectors. The Sensex rose by 289 points, or 0.38%, to 76,619, while the Nifty50 added 103 points, or 0.45%, reaching 23,189 as of 12 pm.

ModiWatch: On Monday, Prime Minister Narendra Modi participated in Lohri celebrations in Naraina, west Delhi, highlighting the festival's significance for renewal, hope, and agriculture. He also attended Makar Sankranti and Pongal festivities earlier in the day.

Delhi Today: Plenty of sunshine.

A thick blanket of fog engulfed Delhi on Tuesday morning, reducing visibility to zero and disrupting train schedules, officials said. A total of 39 trains were running late as of 6 am. Some trains were delayed by 30 minutes, while others were running up to four hours behind schedule. Delhi recorded a minimum temperature of 8.9 degrees Celsius, 1.5 notches above normal, while the air quality was recorded in the poor category. According to the CPCB air quality bulletin, the AQI at 9 am was recorded in the poor category with a reading of 256. The IMD has predicted dense to very dense fog for the day, with the maximum temperature likely to settle around 19 degrees Celsius. (PTI)