Wednesday, November 27
Argentina's new President Javier Milei announces sharp devaluation of currency and cuts to energy and transportation subsidies in response to economic "emergency." The Argentine peso will be devalued by 50% to 800 to the US dollar. Milei warns that the country will be worse off for a few months. The government also plans to cancel tenders of public works projects and cut state jobs to reduce the fiscal deficit. Milei believes the fiscal deficit is the cause of the country's economic problems.
India's employment outlook between October 2023 and March 2024 shows workforce expansion and increased hiring in various industries, according to an employment outlook report released by staffing conglomerate TeamLease. The report, based on data collected from 1820 companies across 14 cities, highlights the resurgence of consumer and retail companies in Q4 and cautious moves from banks and NBFCs due to increased regulatory pressure. The surge in workforce expansion is attributed to government policies and initiatives promoting entrepreneurship. High workforce expansion is projected in the healthcare, pharmaceuticals, and electric vehicles and infrastructure sectors.
Budget 2024 may focus on the new income tax regime, faster processing of tax refunds, robust tax collection machinery, and speedy disposal of appeals.
The demand for luxury and premium imported chocolates is steadily growing in India, with the market expected to see a significant increase in the year-end season and beyond. In the financial year 2023, India imported chocolates worth $27.84 million, reflecting a year-on-year growth of 45%.
In March 2020, India implemented a strict lockdown due to the pandemic, causing panic among investors. Foreign funds sold off a significant amount of stocks, leading to a 40% decline in the sensex. Meanwhile, domestic funds received inflows through the systematic investment plan (SIP) route. The lockdown also accelerated digital adoption, with increased participation in banking services, insurance, and trading. The combination of Jan Dhan accounts, Aadhaar-enabled KYC, and affordable mobile data prices boosted retail participation in the market. As investor interest grew, people turned to mutual funds for investing, benefitting from the expertise of fund managers.
India's retail inflation has declined from an average of 7.1% in April-October 2022 to 5.4% in the corresponding period of 2023. The retail inflation is now stable and within the notified tolerance band of 2% to 6%. The core inflation rate has declined from 5.1% in April 2023 to 4.3% in October 2023. Temporary increases in inflation on a few occasions are caused by demand-supply mismatches arising out of global shocks and adverse weather conditions.
INFOSYS-India's Infosys finance chief Nilanjan Roy resigns
India has reported significant improvements in reducing waiting times at toll plazas and export release times at land ports. The average waiting time at toll plazas has been reduced to 47 seconds, while the export release time at land ports has been reduced to 22 hours.
Novartis plans to divest its Indian eyecare portfolio to JB Chemicals, adding to the list of MNCs reducing exposure to the Indian market. The move aligns with Novartis' strategy to capitalize on ophthalmic therapy while offering JB Chemicals entry into a growing business segment. Global Big Pharma has been divesting branded generics to Indian companies, while Indian players are diversifying from the US generics market. The deal is expected to be announced soon. The demand for eyecare is increasing due to the ageing population and greater access, driven by the use of tablets and mobile devices.
