Daily News - Tuesday, 11 March 2025
Govt set to spend addl. ₹51,462 cr (Financial Chronicle)
The Indian government has sought Parliament’s approval for a net additional expenditure of ₹51,462.86 crore in the current financial year, with the total gross additional spending at ₹6.78 lakh crore, largely offset by savings and receipts. Major allocations include ₹14,100 crore for fertiliser subsidies, ₹13,449 crore for government pensions (including ₹7,000 crore for the unified pension scheme), ₹8,476 crore for defence pensions, and ₹5,322 crore for the telecommunications sector. Other significant expenditures include ₹2,186 crore for agriculture and ₹3,722 crore for Jammu & Kashmir’s additional financial needs.
Rupee suffers big fall, reaches 87.36 vs dollar (Financial Chronicle)
The Indian rupee depreciated by 41 paise (0.47%) to close at 87.36 against the US dollar on Monday, marking its sharpest single-day fall since February 5, amid concerns over potential US tariffs on Indian exports and uncertainty surrounding bilateral trade negotiations. Despite a weaker dollar index (down 0.15% at 103.65) and lower crude oil prices, investor demand for the US dollar surged as a safe-haven asset, with market participants closely watching upcoming inflation data from both India and the US for potential central bank rate cuts. The rupee, which fluctuated between 87.16 and 87.36 during the session, is expected to remain volatile this week, trading between 86.90 and 87.70, while weak US job data (151,000 non-farm payrolls vs. 160,000 expected) and a 4.1% unemployment rate (vs. 4% expected) add to global economic uncertainty.
Stop asking for tax cuts, Gadkari tells India Inc (Financial Express)
Union Minister Nitin Gadkari urged the industry to refrain from constantly demanding tax reductions, emphasizing that government revenue is essential for welfare schemes, while reaffirming the government’s vision of taxing the rich to support the poor. He projected that India’s logistics costs, currently at 14-16%, will drop to 9% within two years, making the country more competitive globally compared to China (8%) and the US/Europe (12%). Highlighting the importance of reducing production costs without compromising quality, he called for increased capital investment, job creation, reduced imports, and higher exports to drive India toward becoming a developed nation.
Prices of veg, non-veg thali down 5% in February: Crisil (Financial Express)
The cost of both vegetarian and non-vegetarian thalis declined by 5% month-on-month in February due to lower vegetable and broiler prices, according to a Crisil Market Intelligence report. Onion, potato, and tomato prices dropped by 7%, 17%, and 25%, respectively, due to fresh arrivals, while broiler prices fell by 5% amid reduced demand following a bird flu scare in southern India. On an annual basis, the cost of a vegetarian thali decreased by 1%, whereas the non-vegetarian thali saw a 6% increase.
Parliamentary panel on railways calls for PPP push (Financial Express)
The Parliamentary Standing Committee on Railways has urged the ministry to reduce reliance on gross budgetary support (GBS) by intensifying public-private partnerships (PPP), as 95% of the FY26 capital expenditure of ₹2.65 lakh crore is funded through GBS while other financing sources, like PPP and IRFC borrowings, have nearly dried up. The committee also called for fast-tracking work on dedicated freight corridors (DFCs), urging the ministry to expedite feasibility studies and ensure timely completion of the Western Dedicated Freight Corridor (WDFC). Additionally, concerns were raised over the slow deployment of Kavach, India’s automatic train protection (ATP) system, which currently covers only 1,465 route km on South Central Railway and 80 route km on North Central Railway, with calls for accelerating its implementation across key corridors like Delhi-Chennai and Mumbai-Chennai.
