Author: Sreelatha M

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Beyond

India offers tax relief on foreign bond investors

India has abolished capital gains tax on certain foreign investments in government securities, a move aimed at attracting more overseas capital into the country’s debt market. The decision was announced through an ordinance and is expected to boost foreign investor participation in Indian government bonds.

The tax relief applies to foreign investors investing through the Fully Accessible Route (FAR), a mechanism that allows non-residents to invest in specified government securities without investment limits. The government hopes the measure will make Indian bonds more competitive compared to other emerging markets.

Officials said the move is part of a broader strategy to deepen India’s bond market and improve access to long-term foreign capital. The exemption removes a key concern for global investors, who had previously faced capital gains tax liabilities on profits earned from government securities.

The decision comes at a time when India is seeking to attract larger foreign portfolio investments following the inclusion of Indian government bonds in major global bond indices. Policymakers believe increased foreign participation will improve market liquidity, reduce borrowing costs and support economic growth.

Market experts welcomed the announcement, noting that tax clarity and lower investment costs could encourage greater inflows from global funds. They said the measure aligns India’s taxation framework more closely with international standards and could enhance the appeal of Indian debt instruments.

The exemption is also expected to support the Indian rupee by encouraging additional foreign currency inflows. Analysts believe stronger participation from overseas investors may help stabilize financial markets and strengthen India’s position as a preferred investment destination.

The government’s decision marks another step in integrating India’s financial markets with global capital markets while ensuring a steady flow of overseas investment into the country’s growing economy.

Industry participants said the reform reflects the government’s commitment to creating a more investor-friendly environment and developing India’s financial markets. With foreign interest in Indian bonds already rising, the latest tax relief could further accelerate investment activity.

Also Read: Rupee inches up 11 paise to 85.63 

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Beyond

Gold falls to ₹1,56,100, Silver drops to ₹2,79,900

Gold and silver prices witnessed a mild decline in domestic markets on Friday as investors booked profits following a strong rally in recent sessions. Despite the pullback, market experts remain optimistic about the outlook for precious metals due to ongoing global uncertainties and strong safe-haven demand.

According to market data, gold prices fell by ₹10 to ₹1,56,100 per 10 grams in the national capital. Silver prices also declined by ₹100, with the metal trading at ₹2,79,900 per kilogram. The correction came after both metals recorded sharp gains earlier in the week amid heightened geopolitical concerns and expectations surrounding global interest rate trends.

Across major Indian cities, 24-carat gold continued to trade above ₹98,000 per 10 grams, while 22-carat gold remained above ₹90,000. Prices varied slightly depending on local taxes and demand conditions. Jewellery retailers reported steady consumer interest despite elevated prices, especially from buyers preparing for upcoming wedding and festive purchases.

Gold remains supported by uncertainty surrounding the global economy and geopolitical tensions in the Middle East. Investors continue to monitor developments related to the US-Iran situation, which has increased demand for safe-haven assets. At the same time, expectations that major central banks could move towards lower interest rates later this year have also strengthened sentiment for precious metals.

Market participants noted that while short-term profit booking may lead to occasional corrections, the broader trend for gold remains positive. International gold prices have stayed near record levels, supported by central bank purchases, a weaker dollar outlook and continued investor demand for defensive assets.

Silver, which often tracks gold’s movement, is also expected to remain supported due to strong industrial demand from sectors such as renewable energy, electric vehicles and electronics.

Also Read: Sensex gains 50 points, Nifty holds above 23,400

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Beyond

Cabinet clears ₹10,000 cr ATF support fund

The Union Cabinet has approved a ₹10,000-crore Aviation Turbine Fuel (ATF) Price Stabilisation Fund to protect Indian airlines from sharp increases in jet fuel prices triggered by geopolitical tensions in West Asia.

The decision comes as airlines face rising operating costs due to volatility in global crude oil markets. Aviation fuel is one of the biggest expenses for carriers and typically accounts for 35-40% of their operating costs. Recent concerns over supply disruptions and escalating tensions in the Middle East have pushed energy prices higher, increasing pressure on airline finances.

Under the new mechanism, the government will provide temporary financial support when ATF prices rise sharply beyond a predetermined threshold. The fund is designed to reduce the impact of sudden fuel price spikes and help airlines maintain operations without passing the entire burden on to passengers.

Officials said the measure aims to ensure stability in the aviation sector, which has witnessed strong growth in passenger traffic over the past few years. The fund is expected to benefit both full-service and low-cost carriers by providing a buffer against external shocks.

The government believes the initiative will support the long-term growth of India’s aviation sector while safeguarding connectivity and passenger demand. The fund is expected to become operational after detailed implementation guidelines are finalised.

Also Read: SpaceX targets record $75 bn IPO

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1 Minute-Read

Uber caps employee use of AI tools

Uber has introduced monthly limits on employees’ use of artificial intelligence tools as it seeks to manage rising technology expenses. The company has placed caps on AI-powered applications used for tasks such as coding, research and content creation.

The move reflects growing concerns among businesses about the costs of generative AI, including subscriptions and computing resources. Uber said the policy is aimed at encouraging responsible use of AI rather than reducing investment in the technology.

Industry experts say the decision highlights a broader trend as companies move from experimenting with AI to closely monitoring its costs and business value.

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Leaders

Sam Altman opposes AI approval rules

As the United States debates new rules for artificial intelligence, OpenAI CEO Sam Altman has voiced opposition to proposals that would require government approval before the release of new AI models. He argues that such measures could slow innovation and weaken the country’s position in the global race for AI leadership.

Speaking ahead of discussions on AI regulation, Altman said developers should be allowed to release and improve AI models without having to secure prior approval from government agencies. He warned that a strict approval-based system could slow technological progress and make it harder for US companies to compete globally.

The debate comes as policymakers consider new rules to address concerns about the risks posed by advanced AI systems. Governments around the world are exploring ways to regulate the technology amid fears related to misinformation, cybersecurity, privacy and potential misuse.

Altman acknowledged the need for responsible AI development and appropriate safeguards but argued that mandatory approval requirements could create significant barriers for innovation. He said the AI industry is evolving rapidly and that overly restrictive regulations may prevent companies from responding quickly to technological advances.

The OpenAI chief is expected to advocate for a regulatory approach that focuses on safety standards, transparency and accountability rather than requiring official clearance before every major AI release. Supporters of this approach argue that it would allow innovation to continue while still addressing public concerns about the technology.

The discussion reflects a broader debate within the technology sector. Some experts believe governments need stronger oversight of powerful AI systems, while others warn that excessive regulation could stifle research and limit economic growth.

The United States is currently competing with countries such as China to establish leadership in artificial intelligence, making AI policy a key strategic issue. Industry leaders have repeatedly called for regulations that balance innovation with safety.

Also Read: Meta rolls out AI agents for businesses

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Corporate

FirstClub valuation doubles to $255 mn

FirstClub has raised fresh funding at a valuation of $255 million, more than doubling its valuation in just nine months. The latest investment reflects growing investor confidence in the startup’s quality-first approach to grocery delivery, a market largely dominated by speed-focused quick-commerce players.

The funding round was led by existing and new investors, including Peak XV Partners and Sofina. The company plans to use the capital to strengthen its supply chain, expand into new product categories and scale operations across key markets.

Unlike many quick-commerce platforms that compete primarily on delivery speed, FirstClub has positioned itself around product quality and customer trust. The company focuses on sourcing premium groceries, fresh produce and household essentials while maintaining strict quality standards.

FirstClub’s founders believe consumers are increasingly willing to prioritise product quality over ultra-fast delivery times. The startup aims to build long-term customer loyalty by offering a more curated shopping experience rather than competing solely on discounts and rapid fulfilment.

The fresh funding comes at a time when India’s quick-commerce sector is attracting significant investor interest. Companies are competing to capture a larger share of the rapidly growing online grocery market, which has seen increased adoption among urban consumers.

FirstClub said it will invest heavily in technology, logistics and category expansion to support future growth. The company is also looking to enhance customer experience through better inventory management and personalised offerings.

The company has witnessed strong growth in recent months, driven by rising demand for reliable grocery delivery services. It has expanded its product range and strengthened partnerships with suppliers to improve consistency and availability.

With fresh capital and a rapidly growing customer base, the startup is aiming to strengthen its position in India’s evolving grocery delivery market and compete with larger players through its quality-driven approach.

While many players focus on delivery speed, FirstClub is betting that quality, trust and product selection will become equally important factors for consumers.

Also Read: Coralogix raises $200 mn during AI boom

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Corporate

Sensex dips beyond 100 points, Nifty slips below 23,400

Indian benchmark stock indices opened lower on Thursday as the BSE Sensex fell by more than 100 points, while the NSE Nifty slipped below the 23,400 mark during volatile trading.

Among individual stocks, Tata Steel and ONGC were among the notable gainers, supported by sector-specific buying and strength in commodity-linked counters. On the other hand, Infosys, HCLTech and Tech Mahindra were among the major laggards, dragging the indices lower amid weakness in information technology stocks.

Higher crude oil prices are a major concern for India, which imports most of its energy needs. Rising oil costs can increase inflationary pressures and impact corporate earnings. Brent crude remained elevated, keeping investors on edge. At the same time, the Indian rupee came under pressure against the US dollar, adding to market worries.

Foreign institutional investors (FIIs) continued to remain cautious, with persistent selling activity affecting market sentiment. Traders also preferred to stay on the sidelines ahead of the RBI’s policy announcement, where the central bank is expected to provide guidance on interest rates, inflation, liquidity and economic growth. Most economists expect the RBI to keep the repo rate unchanged.

Sector-wise, weakness was seen in several heavyweight stocks, particularly in information technology and other rate-sensitive sectors. However, broader markets showed some resilience, with select mid-cap and small-cap stocks attracting buying interest.

Market sentiment remained weak as concerns over the escalating conflict between the United States and Iran continued to affect global financial markets. Investors feared that further tensions could disrupt oil supplies and push crude oil prices higher.

Global markets also remained under pressure as investors shifted towards safer assets amid uncertainty surrounding the Middle East conflict.

Also Read: HUL launches Unilever Fragrance Hub in Mumbai

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Leaders

Wipro CEO Srinivas Pallia earns nearly ₹50 cr in FY26

Wipro Chief Executive Officer Srinivas Pallia earned nearly ₹50 crore in FY26, placing him among the highest-paid leaders in India’s IT industry.

According to Wipro’s annual report, Pallia received total compensation of around ₹49.5 crore during the financial year. His package included salary, performance-linked bonuses, allowances and stock-based incentives.

The CEO’s earnings were significantly higher than those of Wipro Chairman Rishad Premji, who received about ₹7 crore in FY26. Premji’s remuneration was nearly 50% lower than the previous year, making Pallia’s compensation almost seven times larger.

Pallia took charge as Wipro’s CEO in April 2024 following the exit of Thierry Delaporte. Since then, he has focused on improving efficiency, strengthening customer relationships and steering the company through a challenging global technology market.

The latest disclosures have renewed attention on executive compensation across India’s IT sector. Many technology firms increasingly tie leadership pay to business performance, shareholder value and long-term growth objectives.

The gap highlights how executive pay is structured at major technology companies, where a large portion of compensation is often linked to performance targets and long-term stock awards.

Compensation levels also vary widely across the industry depending on company size, financial performance and the structure of stock incentive programmes. Recent reports show that top executives at leading Indian IT firms continue to receive sizeable pay packages despite a challenging business environment.

The figures come at a time when the IT sector is navigating mixed market conditions. While demand for artificial intelligence, cloud services and digital transformation remains strong, companies continue to face cautious spending by clients and broader economic uncertainty.

Also Read: India’s tyre exports cross record ₹27,300 cr

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Beyond

India’s tyre exports cross record ₹27,300 cr

India’s tyre industry has achieved a record-breaking export performance, with overseas shipments reaching ₹27,312 crore in FY26, reflecting a 9% increase over the previous year’s ₹25,057 crore. The achievement comes despite global trade uncertainties, rising logistics costs and higher tariffs imposed by the United States, one of the industry’s key export markets.

The United States remained the largest destination for Indian tyre exports, accounting for ₹4,082 crore, or 15% of total export value. However, the country’s share declined from 17% a year earlier after the US raised tariffs on Indian tyre imports from 25% to 50% in August 2025. The tariff increase made Indian products less competitive compared to those from several rival exporting nations.

Despite this setback, Indian manufacturers successfully expanded their presence in other international markets. Germany emerged as the second-largest export destination, followed by Italy, Brazil and France. Industry data shows Indian tyres are now exported to more than 170 countries, highlighting the sector’s growing global reach.

Industry body Automotive Tyre Manufacturers Association (ATMA) credited the strong performance to market diversification, improved competitiveness and sustained investments in manufacturing capacity. Over the past four to five years, tyre companies have invested nearly ₹30,000 crore in greenfield and brownfield expansion projects to boost production and strengthen export capabilities.

The industry also received some relief when the US reduced tariffs on most Indian goods to 18% in February 2026. Industry leaders believe the move could support export growth in the coming months and improve India’s competitiveness in the American market.

With an annual turnover of around ₹1 lakh crore, the tyre sector remains one of India’s leading manufacturing industries.

Also Read: South Korea tops India as World’s sixth-largest stock market

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Corporate

South Korea tops India as World’s sixth-largest stock market

South Korea has overtaken India to become the world’s sixth-largest stock market by market capitalisation, driven by a strong rally in technology and semiconductor stocks.

Statistical reports show the combined value of companies listed in South Korea has crossed $5 trillion, ahead of India’s market capitalisation of about $4.8 trillion. The shift has pushed India to seventh place in global stock market rankings.

The rise has largely been powered by the global artificial intelligence boom. South Korean chipmakers such as Samsung Electronics and SK Hynix have attracted strong investor interest as demand for AI-related chips and data-centre infrastructure continues to grow.

Indian markets, meanwhile, have faced pressure from weaker corporate earnings, foreign investor outflows and a weaker rupee. The absence of major AI-focused companies in benchmark indices has also limited gains compared with technology-heavy markets.

The latest development comes shortly after Taiwan moved ahead of India in global market rankings, causing India to slip from fifth to seventh position within a relatively short period.

The rankings underline the growing impact of AI-driven investments on global markets, with countries that have strong semiconductor industries benefiting the most from the ongoing technology boom.

Despite the decline, analysts remain positive about India’s long-term outlook. They point to strong economic growth, rising domestic participation in equities and continued infrastructure investment as key strengths supporting future market expansion.

Also Read: OYO parent gets SEBI approval for ₹6,500 cr IPO