Daily News - Wednesday, 21 August 2024
India planning to set up over 50 e-commerce export hubs (mint)
The Ministry of Commerce and Industry plans to establish 50 e-commerce export hubs across India over the next five years, with ten set to launch in the current financial year, aiming to boost the country's relatively low e-commerce export figures, which currently stand at $5 billion compared to China's $300 billion. These hubs, developed as public-private partnerships, will enhance logistics, provide infrastructure, and support small and medium enterprises (SMEs) to access global markets more efficiently, with the government ensuring regulatory frameworks and necessary facilities are in place. This initiative, expected to create jobs and improve product quality, will operate on a plug-and-play model to minimize setup time and facilitate quick operationalization.
India moves to secure energy supplies (mint)
Union Petroleum and Natural Gas Minister Hardeep Singh Puri will visit the US and UAE in the coming months to strengthen India's energy diplomacy, diversify energy sources, and secure long-term oil and gas contracts, starting with the Gastech 2024 event in Houston and later attending ADIPEC 2024 in Abu Dhabi. India's efforts focus on expanding domestic oil and gas production, inviting global exploration and production (E&P) majors to invest, and ensuring energy security by pursuing long-term deals, especially after the energy price surge in 2022. US energy giants like ExxonMobil and Chevron are already partnering with India's ONGC for deep-sea exploration, with further collaborations expected during Puri's visits.
Cannot cut rates due to one-off inflation dip: Das (Business Standard)
RBI Governor Shaktikanta Das ruled out any immediate reduction in the policy repo rate despite July's headline inflation drop to 3.5%, attributing it to a statistical base effect rather than a sustainable trend. He emphasized that the RBI aims for a durable alignment of inflation to its 4% target and warned against reacting to one-off events, maintaining the repo rate at 6.5% due to concerns over persistent food inflation. Das also dismissed the idea of excluding food prices from inflation targeting, underscoring that food inflation remains crucial for credibility and that while inflation is trending downward, uncertainties keep the average inflation estimate for the fiscal year at 4.5%.
India sets sights on 10% of global space economy in 10 yrs (Business Standard)
India has set an ambitious 25-year vision for its space sector, aiming to expand its global space economy share from 2% to 10% within the next decade, with plans to establish a human space station and send an Indian to the moon by 2040. ISRO Chairman S. Somanath expects India's space economy to grow from $9 billion to $45 billion, driven by private sector participation, and has begun transferring technology for the mass production of the Small Satellite Launch Vehicle (SSLV). The space sector's growth is underpinned by its significant economic impact, creating jobs and supporting industries like agriculture and disaster management, with over 200 startups now active in the sector.
‘Hospitality Seen Getting 29% More Investments at $436 M This Fiscal’ (The Economic Times)
India's hospitality sector is set to receive $436 million in investments by the end of this year, marking a 29% increase from last year and the highest since the pandemic, driven by growing momentum, rising consumption, and increased transaction sizes. This investment surge positions India close to markets like Thailand, expected to see $550-600 million in hotel investment sales, and highlights the sector's recovery from a low base, with notable growth in transaction volumes despite rising construction costs. JLL's data shows that India's hotel transactions reached $93 million in the first half of 2024, with a significant increase in hotel room signings, indicating strong investor confidence and favorable market conditions.
