Business

Chennai, Oct 3 (IANS) Automobile major Mahindra & Mahindra Ltd (M&M) on Monday said it has become the numero uno in the utility vehicle (SUV) segment last month selling 34,262 units.

The company said that it had sold a total of 64,486 units (passenger vehicles 34,508 units, commercial vehicles 27,440 units, exports 2,538 units) last month up from 28,112 units sold in September 2021.

"We continue to see very strong demand and performance across our portfolio of products, from SUVs, LCV's less than 3.5 tons and our Last Mile Mobility brands," Veejay Nakra, President, Automotive Division said.

--IANS
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New Delhi, Oct 1 (IANS) In emerging economies, weaker external demand and dollar strength will weigh on growth, foreign brokerage Credit Suisse said in a report.

Inflation has likely peaked in most emerging economies, but central banks should continue hiking at least through the end of 2022, the report said.

"Overall, the economic environment for risk assets is deteriorating. Stagnating global industrial production, persistent cost pressures, and rising financing costs all suggest a prolonged period of low risk appetite," Credit Suisse said.

"High inflation and tight labour markets lead us to raise our forecasts for interest rates significantly higher. Global central banks are now hiking at the fastest pace since 1979. We see little prospect for any pivots toward easing. We have cut our GDP growth forecasts. More tightening, rising real yields, energy price shocks in Europe, and China's ongoing property market stress and Covid lockdowns have led us to cut our GDP growth forecasts," Credit Suisse said.

Global GDP is set to grow 2.6 per cent in 2022 and just 1.6 per cent in 2023. The US has entered a prolonged period of below-trend growth.

"A recession is not our base case, but the probability is rising. Tighter financial conditions are causing cyclical spending to contract. However, healthy household and business balance sheets provide a buffer. The Fed is expected to continue to tighten aggressively to a terminal rate of 4.5-4.75 per cent.

"The Euro area and the UK are already in recession. Recent fiscal measures should mitigate the depth of the downturn from the energy shock. However, inflation is broadening and FX weakness adds to price pressures, so monetary policy will continue to tighten aggressively. We forecast the ECB to hike to 3 per cent and the BoE to hike to 4.5 per cent by early 2023," it added.

"China is in a growth recession. Lockdown disruptions, low pass-through from infrastructure stimulus, and insufficient support to the real estate sector have led us to cut our GDP growth estimate for this year to 3.5 per cent," the report said.

--IANS
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New Delhi, Oct 1 (IANS) Prime Minister Narendra Modi on Saturday launched 5G services in the country, saying it was a "historic day for 21st century India" and added that the technology will revolutionise the country's telecom sector.

Launching the service at the four-day India Mobile Congress (IMC) 2022 at Pragati Maidan in the national capital, Modi spoke about the benefits of 5G in India and how the service will help the country's technological revolution.

He also spoke about key pillars that will support the Digital India movement, including the need for affordable technology and a widespread network.

The Prime Minister stressed on manufacturing of smart phones in India and said how it will ensure a reduction in device costs.

"Till 2014 we used to import 100 per cent of our mobile phones. That's why we decided to become 'atmanirbhar' in this particular area. In India, we now have 200 mobile phone manufacturing units now," he said.

Modi also mentioned that India had 25 crore internet connections back in 2014, a number which has now increased to 85 crore.

More internet users are coming onboard from rural areas, he said, adding that 5G will play a key role in how users new and old will benefit from the internet and its possibilities.

"Many people used to make fun of my atmanirbhar Bharat, but we increased mobile phone manufacturing units in India. Eight years ago, there were only two mobile manufacturing units in India. Today, there are over 200 units. We are at number 2 in the world and are exporting our mobile phones to world," the Prime Minister noted.

Modi said that at the time of 2G, 3G, 4G, India was dependent on other natios for technology, but with 5G, the country has created a new history.

"With 5G, India is setting a global standard in telecom technology for the first time."

The Prime Minister went on to say that with the increase in digital connectivity, the country has witnessed a multiplier effect.

"We have taken digital from the elite to the grassroots in India, and this has led to innovation in the country."

Earlier, the Prime Minister virtually interacted with metro workers, who were present inside a tunnel, via 5G technology.

5G will be launched in select cities on Saturday and it will progressively cover the entire country over the next couple of years.

The cumulative economic impact of 5G on India is estimated to reach $450 billion by 2035.

The cumulative economic impact of 5G on India is estimated to reach $450 billion by 2035.

--IANS
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New Delhi, Oct 1 (IANS) Bharti Airtel on Saturday showcased a 5G-connected ambulance to transform primary health care in emergency situations, along with smart farming solutions to Prime Minister Narendra Modi at the 5G official launch in the country.

The 5G ambulance, that can be built for around Rs 7-7.5 lakh, brings a hospital's emergency care to the patient.

Airtel, Apollo Hospitals and Cisco have joined hands to build the 5G-connected ambulance.

The state-of-the-art 5G ambulance is equipped with the latest medical equipment, patient monitoring applications, and telemetry devices that transmit the patient health data to the hospital in real-time.

In addition, it is also equipped with onboard cameras, camera-based Headgear, and 'Bodyc Cams' for paramedic staff -- all connected to the ultra-fast and low latency Airtel 5G network.

It will be further enabled with technologies like AR/VR, said the company.

"Healthcare is one of the most promising use cases for 5G, and we are delighted to deepen our partnerships with Apollo Hospitals and Cisco to bring some innovative use cases for the Indian market," said Ajay Chitkara, Director & CEO, Airtel Business, Bharti Airtel.

With real-time camera feed available, the paramedics in an ambulance can use the cameras to collaborate with the ER doctors at the hospital who are equipped with technologies like AV/VR to undertake basic procedures, if necessary.

The doctors can virtually guide the paramedic to carry out the procedure and save precious lives.

The Airtel's 'Ambupod' technology provides health testing, immunisation and the doctor's connectivity in difficult-to-reach areas.

"Doctors can do a virtual examination of the patient through a video call and view their reports. Medical services can be provided to many villages at the same time," according to the telecom provider.

The company also showcased smart farming solutions to Modi during his visit to the Airtel pavilion.

Airtel, along with its partners L&T and CDAC, has made an effort to make the agriculture sector more productive with the help of 5G technology.

"If every farmer in the country gets the necessary information like soil moisture, atmospheric moisture and temperature information in advance to improve the productivity of agriculture, then he can make a better decision," the company said.

Camera-based analytics can suggest to the farmer according to the colour and nature of the crop, at what time and how much pesticide to use.

--IANS
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New Delhi, Oct 1 (IANS) It is a known fact that an overwhelming majority of the worlds chip and semiconductor output is limited to some countries like Taiwan, China, South Korea, Singapore, Hong Kong, Thailand and Vietnam. Apart from the obvious reasons of monopoly and overdependence on few nations, it also hampers the interests of the global population at large.

Many countries far-off have to pay a heavy price while some are able to deal in excesses of these chips, acting as middlemen in some cases. However, of late, a number of countries have been actively trying to lure companies into manufacturing the same on their soil to usher in a new era of electronics manufacturing and obtain seamless access to chips overall.

It was estimated that India had $15 billion in 2020 that would reach to $63 billion by 2026, as per growing demand and application in consumer and automotive communications, wireless communication etc.

Over the past few years, India has made rapid strides in the manufacturing sector as well as the semiconductor industry sector as part of its resolve to not remain dependent on the thin supply chain of semiconductors emanating from China, Taiwan and few more countries. Given the strategic interests at play with this product, it becomes increasingly important to reduce the nation's dependence for semiconductors and chips on a foreign power.

The recent acceleration of tensions between China and Taiwan as well as the crisis during the Covid-19 pandemic have provided the world with enough testimony about how easily the situation can change into a supply chain disaster of gigantic proportions, with the ability to choke the suppliers and the big consumers like India completely.

In this context, it comes as a welcoming news that the Indian natural resources conglomerate Vedanta in collaboration with Taiwanese manufacturing giant Foxconn is all set to manufacture semiconductors on Indian soil with the announcement of a $19.5 billion pact for such plants in Gujarat.

The 60:40 joint venture of Vedanta-Foxconn will set up a semiconductor fab unit, a display fab unit and a semiconductor assembling and testing unit on a 1000-acre land in the Ahmedabad district. With this plant functioning, India would enter the elite club of five nations that have the ability to manufacture glass and semiconductors. It is indeed a revolutionary step with the power to transform Indian electronics as an industry as well as make it much more affordable to Indian consumers.

Semiconductor chips are vital pieces of many digital consumer products from ATM cards, computer to car also. Now, every Indian can own a smart television, mobile, laptop and other electronic goods. In addition, this single step can also create a huge ecosystem for India's ancillary industries. Interestingly, estimates and surveys predict the revenue generation to the tune of about $100 billion and quadruple growth for the Ministry of Micro, Small & Medium Enterprises (MSME) sector as a whole. This massive project has the potential to improve the livelihoods of at least 1 lakh individuals as well as put India on the global silicon map. Though extremely bold and ambitious in its targets, the venture aims to start manufacturing display and chip products within two years from now.

It is clear that to mount such a large-scale operation, the private sector ought to be working closely with the state governments to be able to use the high-tech clusters with requisite infrastructure, land, semiconductor grain water, power, etc. in an effective manner. While it is clear that only active government support can aid with the setting up of a semiconductor factory, the recent commitment by the Government of India to expand incentives beyond $10 billion for those investing in semiconductor manufacturing surely proves that India is serious about becoming a key player in the global supply chain for chips and semiconductors.

With a renewed focus on research & development in this sector, this inward-looking approach of the Government of India has ensured that our domestic semiconductor industry has been given enough of a shoulder to rely on, to be able to lead us out of a supply chain breakdown/logjam when needed. Playing a significant role in innovation, this effort to develop India into a significant manufacturing hub with an entrepreneur- friendly ecosystem would help India stand a real chance at emerging as a global hub for semiconductor manufacturing as well as a provider of affordable electronics items to its local consumers in line with the principles of Self-Reliant India.

It is a result of these bold policy decisions in the electronics industry that the nation has arrived at the cusp of breaking free from the monopolised chip manufacturing global industry. Building better, India is sure to gradually emerge as a giant manufacturer of the chips and semiconductors, thereby also developing into a hub of cutting-edge innovation and research.

--IANS
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Mumbai/Chennai, Sep 30 (IANS) The Reserve Bank of India (RBI) will come out with discussion papers on adopting expected loss-based approach for loan loss provisioning and on securitisation of stressed assets framework, Governor Shaktikanta Das said.

The discussion papers on the above two issues will be issued by the RBI, Das said on Friday while announcing the bi-monthly monetary policy.

He also said new guidelines on the regional rural banks (RRB) allowing internet banking facilities to their customers will be issued soon.

According to Das, the proposed guidelines for securitisation will be in addition to the ones that are in vogue.

In September 2021, the RBI had issued the revised framework for securitisation of standard assets.

As regards securitisation of non-performing assets, the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest (SARFAESI) Act, 2002, currently provides a framework for such securitisations to be undertaken by Asset Reconstruction Companies (ARCs) licensed under the Act.

However, based on market feedback, stakeholder consultations and the recommendations of the Task Force on Development of Secondary Market for Corporate Loans, it has been decided to introduce a framework for securitisation of stressed assets in addition to the ARC route, similar to the framework for securitisation of standard assets.

Reacting to the announcements, R.K. Bansal, MD & CEO, Edelweiss ARC, said: "On the resolution of stressed assets as well, timely initiation of resolution is important, when the assets have a good chance of revival and have fair amount of realisable value. Towards this end, strengthening the existing SARFAESI along with developing an additional framework for securitisation of stressed assets is a forward looking approach to managing NPAs in the country."

This in part has been due to the preference of banks shifting to alternative avenues, with asset sales declining as a proportion to outstanding gross non-performing assets across bank groups, said Dr. Soumya Kanti Ghosh, Group Chief Economic Adviser, State Bank of India.

"This was also due to the worsening acquisition cost of ARCs as a proportion of book value of assets, reflecting higher haircuts and lower realizable values in respect of their acquired assets," Ghosh added.

The RBI is also looking at making banks to provide for loan loss based on expected loss approach from the incurred loss approach.

"While tightening of bad debt provisioning rules aimed at bolstering the nation's financial system is encouraging, large non-banking lenders have been using expected loss provisioning for some time as providing for loans once soured, is inadequate. Adopting it for banks is indeed a prudent approach," said Bansal.

According to Ghosh, the RBI's announcement addresses the drawback that rate of standard asset provisions has not been determined based on any scientific analysis or credit loss history of Indian banks. This provisioning framework inherently does not have countercyclical or cycle smoothening elements.

In order to promote the spread of digital banking, the RBI will revise its norms for RRBs allowing internet banking for its customers.

--IANS
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New Delhi, Sep 30 (IANS) The growth of eight core infrastructure sectors fell to a nine-month low of 3.3 per cent in August from 12.2 per cent which was recorded during the corresponding period of last year.

The previous low growth of 3.2 per cent was recorded in November 2021.

Meanwhile the production growth of eight infrastructure sectors namely coal, crude oil, natural gas, refinery products, fertiliser, steel, cement and electricity was 9.8 per cent during April-August period of this fiscal, compared to 19.4 per cent in the year ago period, according to official data released on Friday.

In August 2022, there was an increase in the output of steel, cement, coal, refinery products, fertilisers and electricity compared to the corresponding period of last year.

--IANS
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Melbourne, Sep 30 (IANS) Cricket Australia (CA) on Friday announced the signing of a new men's Test naming rights partnership with NRMA Insurance in an event attended by Pat Cummins, Josh Hazlewood and Ellyse Perry.

NRMA Insurance will hold the naming rights for all men's Test series in Australia for the next four seasons, including the iconic Sydney Pink Test in support of the McGrath Foundation. The partnership will begin with the forthcoming men's Test series against the West Indies and South Africa.

They will also be the Official Insurance Partner of both Australia Men's and Women's international cricket teams, as well as supporting community cricket across the country.

"We are extremely proud to partner with NRMA Insurance and are delighted that cricket has been chosen as the sport to promote its iconic Australian brand. This partnership further emphasises the enduring popularity of Test cricket with the Australian public."

"We are particularly excited that NRMA Insurance shares cricket's passion for helping local communities, meaning that benefits for clubs and volunteers will be significant. This is a great way to start a momentous summer of cricket and we look forward to NRMA Insurance becoming a prominent part of the cricket family going forward," said Nick Hockley, Chief Executive Officer, CA.

This will be the first time NRMA Insurance has taken a national tier one partnership with an Australian sporting code, enabling the brand to bolster its national presence, and further demonstrating the wide reach and strong reputation of cricket as Australia's national sport.

While the NRMA Insurance brand will be prominent at Australia's iconic cricket stadiums, the partnership will also have significant benefits for local communities and cricket clubs.

As a part of this partnership, NRMA Insurance will work with CA to support the sport's continued growth, which relies heavily on a large network of volunteers and helpers. NRMA Insurance will celebrate and advocate for these helpers, who are the lifeblood of Australian cricket.

"This is a significant and purpose-led partnership for NRMA Insurance. Cricket is considered Australia's national sport, and one that is built on community connection, so it was the ideal partnership to support the continued growth of NRMA Insurance across the country as we deliver on our brand promise of Help. NRMA Insurance has been helping Australians for nearly 100 years and we believe in the power of help in building resilient communities."

"Without the helpers behind our national teams, the families that support and encourage the stars of today and tomorrow, and the 220,000 volunteers across community club cricket nationwide, Australian cricket simply wouldn't exist."

"In partnership with Cricket Australia, we look forward to celebrating the local communities and volunteers that make this great game possible and hopefully inspire others to help too," said Julie Batch, NRMA Insurance Group Executive.


--IANS
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New Delhi, Sep 30 (IANS) In a fourth straight hike, the Reserve Bank of India (RBI) on Friday hiked repo rate by 50 basis points to 5.90 per cent with immediate effect.

The measure, aimed at curbing retail inflation, was announced by RBI Governor Shaktikanta Das after the monetary policy committee's (MPC) meeting.

It, however, kept the inflation forecast unchanged and maintained retail inflation forecast for the current fiscal at 6.7 per cent.

RBI has been hiking repo rates since May 4 this year.

RBI had cut repo rate in March, 2020 to reduce the impact of coronavirus pandemic and resultant nationwide lockdown. Since then it had maintained status quo till May 4 this year.

Commenting on the global economic scenario, Das in his virtual customary address said, "We are faced with another storm of aggressive monetary tightening globally. The global economy is in the eye of a new storm."

He added that the step is causing volatility and risk aversion in the financial markets.

The rate hike has also been necessitated due to the rising food prices, which have been spiralling owing to the supply disruptions due to the ongoing Russia-Ukraine war.

Also the fast depreciating rupee too has led to the RBI's decision.

On inflation, the RBI Governor said that it would remain high.

"The recent correction in global commodity prices, if sustained, may ease cost pressures in coming months. Today inflation is hovering around 7 per cent and we expect it to remain elevated at 6 per cent in the second half of the year," he said.

--IANS
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New Delhi, Sep 30 (IANS) Union Commerce Minister Piyush Goyal said on Thursday that India has jumped to 40th place in the Global Innovation Index (GII) from the 81st spot in 2015.

"We were 46 last time the ranking was done. We have also maintained first rank in ICT services exports over the years," he said.

Goyal said this while delivering a virtual message to mark the launch of the Global Innovation Index 2022 by the World Intellectual Property Organization (WIPO).

The minister said that GII has established itself as a tool for governments across the world to reflect upon policies and their impact.

"GII has over the years recognised India's continuous rise due to the progressive measures taken by the government and industry working hand in hand," he added.

He also expressed his gratitude to WIPO on behalf of 1.3 billion Indians and said that India today aspires to take its ranking in the GII Index among top 25.

--IANS
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