• Thursday, August 18, 2022

Business

India economy & business news in brief for Aug 4: ‘India telecom sector will remain affordable even with 5G’

By: Shubham Ghosh

Here are some news related to India’s economy and business news for Thursday, August 4, 2022:

Indian telecom minister Ashwini Vaishnaw said 5G services in the country were expected to kick off in October and that the telecom sector will remain one of the most affordable in the world, even with 5G. “We had requested the industry to start the process of setting up equipment all over the country. The auction concluded yesterday and today our committee has already held a meeting to approve the spectrum allocation. Maybe by August 10 we can allocate the spectrum and we should be able to roll out 5G in October,” Vaishnaw told India Today.

The Reserve Bank of India is likely to hike the policy repo rate by 25 to 50 basis points on Friday (5), the third hike since the beginning of the current financial year, in order to tame the inflationary pressure, Asian News International reported. While the hike in policy interest rates is almost certain, analysts and economists have different opinions on the extent of the rate hike. It varies between 25 basis points to 50 basis points. According to Srikanth Subramanian, CEO-Designate, Kotak Cherry, the RBI is expected to hike the policy repo rate by 35 to 50 basis points.

Automobile retail sales in India fell eight per cent on an annual basis in July due to slump in registration of passenger vehicles, two-wheelers and tractors, Moneycontrol News reported. As per data released by the automobile dealers’ body FADA (Federation of Automobile Dealers Associations of India) on Thursday, the overall automobile retail sales last month stood at 14,36,927 units, as compared with 15,59,106 units in July 2021. Passenger vehicle retail sales saw a dip of five per cent at 2,50,972 units last month, as against 2,63,238 units in the year-ago period. FADA president Vinkesh Gulati said that though there is a dip in July numbers, the segment continues to see launch of new models, especially compact SUVs, helping growth.

India’s bigger retailer Reliance said on Thursday that it had signed a long-term franchise deal with French fashion house Balenciaga, the latest in a flurry of deals the conglomerate has signed with high-end brands, Reuters reported. Reliance Brands Ltd (RBL), a unit of the conglomerate that also runs India’s biggest retail chain, said in a statement it would be Balenciaga’s sole partner in India. “It’s the most opportune time to introduce the brand to the country as the Indian luxury customer has matured and using fashion as a form of creative expression of their individuality” Darshan Mehta, managing director of RBL, said in the statement.

Russia became India’s third-largest coal supplier in July, with imports rising by over a fifth compared with June to a record 2.06 million tonnes, data from Indian consultancy Coalmint showed, Reuters reported. Russia has historically been the sixth-largest supplier of coal to India, behind Indonesia, South Africa, Australia, and the United States, with Mozambique and Colombia alternatingly featuring in the top five. India expects its central bank’s recent approval to allow payments for commodities in the Indian rupee to provide a major fillip to bilateral trade with Russia. India’s imports from Russia have jumped nearly five times to over $15 billion (£12.3 billion) ever since Russia invaded Ukraine.

Kabhi B, a leading bakery chain from the western Indian state of  Gujarat, is enhancing its successful business model to accommodate master franchisees throughout India and abroad, ANI reported. Sumptuous cookies, handmade cakes and freshly-baked bread are just some of the items on the menu for Kabhi B’s and in the coming years promise to be just as prosperous. Renowned throughout Gujarat for manufacturing, processing and distributing high-quality baked goods, Kabhi B’s complete range consists of more than 200 mouth-watering product varieties, from cakes and cookies to bread and pastries.

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