eznews.inGlobal markets are abuzz with speculation over potential Federal Reserve rate cuts, and Indian equities are poised for a positive start, although the Nifty index may struggle to gain significant traction. Despite an optimistic opening, the benchmark index faltered on Thursday, failing to maintain a critical technical level, leaving traders uncertain about its momentum. Consumer-facing stocks are likely to attract attention as investors seek stability amid tariff challenges. India's recent policy shifts, including tax cuts and interest rate reductions, have made the market more appealing to global funds, which have withdrawn approximately $15 billion this year. However, stagnant urban wage growth poses a challenge to household demand, potentially limiting the impact of tax relief on consumption. Meanwhile, hospital stocks reacted tepidly to the exemption of health insurance premiums from GST, as much of the positive sentiment appears already reflected in their prices. 
Published: Sep 05 2025, 9 ameznews.inSingapore is set to collaborate with India to enhance maintenance, repair, and overhauling (MRO) capabilities in civil aviation, as highlighted by P Kumaran, Secretary (East) of India's Ministry of External Affairs. During a briefing on Singapore Prime Minister Lawrence Wong's visit to India, Kumaran emphasized the potential for cooperation in MRO, citing Singapore's expertise and the interest of SIA Engineering Company Limited to partner with India's Tata Group. The visit also resulted in the signing of five key Memoranda of Understanding (MoUs), covering areas such as a green and digital shipping corridor, space sector collaboration, and advancements in civil aviation training and R&D. Additionally, the two nations are working on a semiconductor ecosystem partnership and have inaugurated the second phase of the Bharat Mumbai Container Terminal, enhancing India's largest container port's capacity. Discussions did not include U.S. tariffs or Myanmar elections, focusing instead on diversifying trade relationships. 
Published: Sep 05 2025, 8 ameznews.inThe recent decision by the GST Council to reduce the Goods and Services Tax on hotel rooms priced up to ₹7,500 from 12% to 5% is anticipated to significantly boost demand in India's hospitality sector. This change is expected to lead to higher occupancy rates, increased package bookings, and greater footfall, particularly in tier-2 and tier-3 cities, ahead of the peak travel season. Industry leaders, including Rajiv Mehra of FAITH and Nikhil Sharma from Radisson Hotel Group, have welcomed the reform, noting its potential to make quality accommodations more accessible and enhance India's appeal as a tourism hub. However, concerns have been raised regarding the removal of Input Tax Credit for mid-market hotels, which could hinder investment in this crucial segment. The Hotel Association of India emphasized the importance of hotels as essential infrastructure that supports employment and regional economies. 
Published: Sep 04 2025, 9 pmeznews.inIn a significant response to the recent GST 2.0 reforms, southern states including Tamil Nadu, Telangana, Kerala, and Karnataka have raised alarms over potential revenue shortfalls, urging the Centre for a compensatory framework. Tamil Nadu's Finance Minister Thangam Thennarasu welcomed certain rate cuts but called for measures to safeguard state revenues, suggesting an increase in the tax rate for luxury goods. Telangana estimates an annual loss of ₹7,000 crore, while Kerala anticipates a decline of ₹8,000-₹10,000 crore, impacting essential services and welfare programs. Karnataka's IT Minister Priyank Kharge echoed concerns about compensation for revenue losses. Meanwhile, Andhra Pradesh's Finance Minister highlighted the potential economic boost from increased purchasing power, despite acknowledging a slight revenue hit. The situation has prompted political reactions, with West Bengal's ruling party criticizing the Centre's delayed response to state demands. 
Published: Sep 04 2025, 9 pmeznews.inThe Trump administration has filed a petition with the US Supreme Court seeking a review of a federal appeals court ruling that deemed most of its tariffs, particularly those affecting India, illegal. This move signals a protracted dispute over tariffs, with Trump warning that the removal of these levies could lead the US to the "brink of economic catastrophe." The administration argues that the tariffs, imposed under the International Emergency Economic Powers Act (IEEPA), are essential for promoting peace and economic prosperity, having secured significant trade agreements with major partners. Meanwhile, Indian Commerce Minister Piyush Goyal remains optimistic about finalising a bilateral trade agreement by November, despite the ongoing tensions. India has refrained from retaliatory tariffs, but insists on protecting its interests in sensitive sectors. Trump's criticism of India's high tariffs continues, framing the trade relationship as historically one-sided. 
Published: Sep 04 2025, 9 pmeznews.inA recent report by Niti Aayog emphasizes the need for a systems approach to boost pulse production in India, advocating for crop-specific and region-specific strategies. Authored by Neelam Patel and a team of professionals, the report suggests that clustering states and districts based on cultivation area and yield can facilitate targeted growth. It highlights the potential of utilizing one-third of the rice fallow area across ten states for pulse cultivation, which could increase output by up to 2.85 million tonnes. Experts argue that the report should have included specific action plans for competing crops, as farmers prioritize economic viability and sustainability. The report also calls for the integration of pulses into existing government schemes to ensure consistent consumption among low-income households, addressing malnutrition issues. While the government has made strides since 2004, a holistic crop policy is deemed essential for sustained success in pulse production. 
Published: Sep 04 2025, 9 pmeznews.inThe India Meteorological Department (IMD) has reported significant rainfall deficiencies across various regions this monsoon, with the East and North-Eastern areas experiencing a 19% shortfall, the North-West region 37%, Central India 10%, and South India 9%. Despite these deficits, nearly 45% of the 161 major reservoirs are over 90% full, largely due to a 9% excess rainfall in North India, according to the Central Water Commission (CWC). Current reservoir storage stands at 86.8% of total capacity, which is 21 percentage points above the 10-year average. Notably, 21 reservoirs are completely full, and many others are nearing capacity, which bodes well for the agricultural sector, particularly for the upcoming rabi season. However, flooding has impacted crops in some areas. The IMD anticipates above-normal rainfall in the coming weeks, suggesting further increases in reservoir levels. 
Published: Sep 04 2025, 8 pmeznews.inIndia's recent rationalisation of Goods and Services Tax (GST) rates on renewable energy products is poised to significantly lower capital costs for solar and wind power projects by approximately 5%, according to Girishkumar Kadam, Group Head of ICRA. This move, part of the government's broader strategy to combat climate change and transition to a net-zero economy, reduces GST on solar PV cells and wind equipment while increasing taxes on fossil fuels, making traditional energy sources more expensive. Industry leaders, including Manoj Mishra from Grant Thornton Bharat, highlight that this shift enhances the financial viability of renewable energy projects, potentially lowering generation costs for solar and wind power. However, challenges remain for developers with existing Power Purchase Agreements, as they may need to renegotiate terms. Overall, the changes are expected to accelerate India's clean energy transition and bolster domestic manufacturing efforts. 
Published: Sep 04 2025, 8 pmeznews.inConsumer product companies across various sectors, including fast-moving consumer goods (FMCG), automobiles, and durables, are optimistic that the recent GST rate rationalisation will significantly boost consumption during the upcoming festive season. Industry leaders are poised to pass on savings to consumers, with Maruti Suzuki's Chairman R C Bhargava highlighting the benefits for small cars now taxed at 18%, which could invigorate a sluggish market. FMCG firms anticipate a resurgence in urban demand and enhanced consumption in rural areas, with Marico's MD Saugata Gupta noting that the reforms will make essential products more affordable. Experts predict price reductions of 7-8% in consumer durables, encouraging upgrades to premium products. Retailers expect a strong rebound in festive sales, particularly in electronics and personal care, marking this season as potentially the most vibrant in years, according to Grant Thornton Bharat's Naveen Malpani and Dabur India's CEO Mohit Malhotra. 
Published: Sep 04 2025, 8 pmeznews.inAs enterprises invest record amounts in AI research and development, the anticipated returns are proving slower to materialize compared to previous technological shifts like cloud computing and SaaS. Currently, AI accounts for 5-6% of the $4-4.5 trillion enterprise technology spend, projected to rise to 8-10% by 2030. Experts highlight that while early adopters are experiencing productivity gains, broader transformative outcomes will take time, raising concerns about the sustainability of current R&D spending. The high costs associated with AI, including significant investments in compute power and specialized talent, are compounded by the need for clean, integrated data systems. Unlike previous technologies, AI's adoption cycle is gradual, requiring ongoing development and adaptation. Despite these challenges, experts predict that within the next few years, AI will drive substantial productivity gains, with measurable returns becoming clearer as organizations transition from pilot projects to full-scale integration. 
Published: Sep 04 2025, 8 pm
For the fastest, latest, not so wokest news, 'experts say' you need to visit Eznews
