Pharma & Finance
The pharmaceutical industry witnessed a significant deal as Lupin inked an agreement for injectable Semaglutide. In the financial sector, Bank of India
(BoI) reported a 7.5% rise in its Q3 net profit, reaching Rs 2,705 Cr. Additionally, Dhanlaxmi Bank experienced a 20% jump in Q3 profit, reaching Rs 23.9 Cr, and KPI Green Energy's Q3 profit soared by 48% to Rs 126 Cr. Meanwhile, the government approved Rs 5,000 Cr in equity support to SIDBI. These financial gains reflect a generally positive trend within the banking sector, but also suggest that the industry is facing challenges as well.
Investments & Policies
Telangana is drawing significant investments, with Sargad planning to invest Rs 1,000 Cr and L'Oréal investing ₹3,500 Cr in its Hyderabad GCC. MATTER Motor announced a USD 100M investment over three years. Simultaneously, the Atal Pension Yojana was extended to 2031. Policy decisions such as these, alongside the Telangana Life Sciences Policy, which anticipates USD 25 Billion in investment, highlight the government's commitment to fostering growth in key sectors. Furthermore, the Andhra Pradesh Chief Minister proposed an Israeli Industrial Park at the World Economic Forum (WEF).
Market Fluctuations
The Indian stock markets experienced a downturn amid geopolitical tensions, with the Sensex falling below 82k. This downturn was mirrored by a slump in the Rupee, hitting a record low against the US dollar, trading at 91.73 and later at INR 91.28 against the USD, underscoring the volatility in the currency market. Meanwhile, gold futures reached a record high, breaching USD 4800/ounce. Commodities also experienced shifts, with crude oil futures falling to Rs 5,487/barrel, and copper, aluminium, zinc, coriander, guar seed, and guar gum futures all showing fluctuations due to various market factors.
Infrastructure & Tech
Several infrastructure projects and technological advancements were also in focus. L&T Vyoma is establishing a data centre in Navi Mumbai. The government is working on the National Electricity Policy 2026. Moreover, Mumbai is planning several smart city initiatives and signing Memorandums of Understanding (MoUs). India's progress in tech democratisation was discussed at Davos by Vaishnaw, while BHIM-UPI ticket bookings were introduced at heritage sites. Furthermore, AI labelling rules are nearing finalisation. Airtel connected Kolkata's Vidyasagar Setu, expanding its reach within the city.
Economic Outlook
India's growth forecast for the next five years is estimated to be between 6-8%. Several organizations are making significant investments and partnerships to facilitate this growth, the Adani Group plans to invest Rs 6 lakh Cr in India. Moreover, discussions about investment and sustainable development were taking place at the World Economic Forum in Davos. The country's economic trajectory continues to be impacted by a combination of global factors and domestic policies, which creates both opportunities and challenges for businesses.
