News Nook: Aug 11, 2025

Indian Sector Specific News:

A) BFSI:

1) Axis Max Life–Max Financial Merger Expected to Face No Hurdles

• Axis Max Life says its merger with Max Financial Services should go smoothly once Parliament passes a new insurance bill allowing such deals between insurance and non-insurance companies.
• The merger process, led by NCLT and regulators, is expected to take 8–12 months after the bill becomes law.
• Source: Economic Times

2) Sebi Plans Easier Rules for Accredited-Investor-Only AIFs

• Sebi wants to allow special investment funds (AIFs) that only take accredited investors, with fewer rules compared to regular funds.
• The current ₹1 crore minimum investment rule will gradually be replaced by accreditation status, with both systems running side-by-side for some time.
• Source: Business Standard

3) SEBI Plans to Let More Indians Invest in Foreign Portfolio Investments

• SEBI wants to make it easier for Indians, including mutual funds and other entities, to invest in foreign portfolio investments (FPIs).
• Proposals include letting retail schemes in IFSCs register as FPIs and allowing Indian mutual funds to invest in overseas funds holding Indian securities.
• Source: Economic Times

B) Automobile:

1) Gadkari Says US Tariffs Won’t Hurt India’s Auto Industry

• Nitin Gadkari says India’s automobile sector is strong, exports widely, and isn’t dependent on just one or two countries, so US tariffs won’t have a big impact.
• He highlighted that the industry is the world’s third largest, worth ₹22 lakh crore, employing over 4.4 crore people, and rapidly adopting alternative fuels.
• Source: Moneycontrol

C) Pharma:

1) NPPA Regulates Drug Prices to Ensure Affordability for Patients

• India controls medicine prices through the Drugs (Prices Control) Order, 2013, with NPPA setting ceiling prices for 930 essential drug formulations and retail prices for 3,482 new drugs, mainly for cancer, diabetes, and heart diseases.
• Price caps, trade margin limits, and the Jan Aushadhi scheme have collectively saved patients thousands of crores annually while expanding affordable medicine access via over 16,900 Jan Aushadhi Kendras.
• Source: Press Information Bureau (PIB)

2) Generic Drug Exports from India Unaffected by Trump’s Tariff Moves

• US President Trump has pressured big pharma to cut prescription drug prices but exempted generic medicines from new tariffs on Indian exports, keeping India’s $12.7 billion generic drug trade with the US safe.
• The exemption reflects the US aim to keep medicines affordable for its consumers, shielding Indian generic pharma from the impact of Trump’s trade actions.
• Source: Fortune India

D) Telecommunication:

1) SC Rules Telecom Towers Eligible for Input Tax Credit

• The Supreme Court upheld a Delhi HC ruling that telecom towers are “movable” property, allowing Airtel and Indus Towers to claim input tax credit (ITC) under GST laws.
• The court rejected the tax department’s view that telecom towers are immovable property, saying such narrow interpretations are not acceptable.
• Source: ET Telecom

2) Nashik Exempts Mobile Towers from Property Tax from Jan 2025

• Nashik Municipal Corporation has removed property tax on telecom towers starting Jan 2025, following state guidelines under the Telecommunication Act, 2023.
• Telcos must still clear dues till Dec 2024, with ₹52.69 crore pending; NMC plans to earn revenue by leasing its spaces for tower installations.
• Source: Times of India

E) Agriculture:

1) Government Initiatives Boost Farmers’ Incomes

• The average monthly income of agricultural households was ₹10,218 in 2018–19, with the government implementing multiple schemes to raise small and marginal farmers’ earnings through higher production, better prices, and diversified farming.
• Key programmes include PM-KISAN, PMFBY, MSP hikes, FPO formation, and agri-infrastructure funds, with the agriculture budget rising from ₹21,934 crore in 2013–14 to ₹1.27 lakh crore in 2025–26.
• Source: Press Information Bureau (PIB)

F) Energy:

1) Govt Grants ₹30,000 Crore to OMCs for LPG Losses

• The Cabinet approved ₹30,000 crore in budgetary support to Indian Oil, Bharat Petroleum, and Hindustan Petroleum to offset under-recoveries from supplying LPG at regulated prices.
• The move, aimed at maintaining affordable household LPG despite high global prices and geopolitical uncertainty, will see funds disbursed in 12 tranches by the Petroleum Ministry.
• Source: Economic Times

2) India Advances in Clean Energy, But Imports Remain Vital: Puri

• Petroleum Minister Hardeep Singh Puri said India is boosting domestic fuel output with 113 CBG plants operational and 73 more under construction, plus growing CNG-compatible vehicle adoption.
• He noted 33.5 crore LPG connections, including 10.5 crore under Ujjwala Yojana, but stressed imports remain key to meeting rising energy demand.
• Source: Economic Times

3) Early Monsoon Hits Power Demand in Q1 FY26

• Tata Power, Adani Power, and JSW Energy saw a 1.3–1.6% drop in Q1 FY26 power demand due to the early onset of monsoon reducing consumption.
• Firms expect demand to rebound later in the year; JSW Energy cushioned the impact by linking its plant with JSW Steel.
• Source: Economic Times

G) FMCG:

1) Urban Demand Revives for FMCG Majors, But Margins Squeezed

• HUL, Britannia, and Tata Consumer saw 4–9% volume growth in Q1 FY26 as urban demand recovered, but margins fell 100–430 bps due to commodity inflation in copra, palm oil, and wheat.
• Companies avoided sharp price hikes to protect volumes; stabilising input costs could support margins in coming quarters.
• Source: Financial Express

H) IT

1) FIIs Pull ₹14,422 Cr from IT in July Sell-Off

• Foreign investors sold ₹14,422 cr worth of IT stocks in late July amid weak Q1 results, headcount cuts, and global macro concerns; total Jan–Jun outflows reached ₹30,600 cr.
• Selling also hit autos (₹2,425 cr), consumer durables, and construction (>₹1,300 cr each), driven by profit-booking and NPA fears in export-oriented sectors.
• Source: ET

Indian Economy and Government Initiatives:

• The government has withdrawn the Income-Tax Bill, 2025, meant to replace the 1961 Act, and will table a revised version on Aug 11 incorporating Select Committee recommendations. The updated bill retains existing tax structures but aims for simpler language, reduced penalties, and a more taxpayer-friendly approach.
• India at 2047: A Reform Blueprint outlines 100 actionable ideas spanning governance, economy, industry, agriculture, climate, social equity, and technology to help India become a $30-trillion developed economy by its centenary of Independence. The vision emphasizes urgent, bold reforms—ranging from judicial efficiency and tax simplification to green energy leadership and AI-era consumer protection—to ensure inclusive and sustainable growth.

Indian Stock Market Update:

• Sensex dropped 765 points and Nifty slipped below 24,400 as Donald Trump announced a 50% tariff on Indian goods, triggering concerns over trade relations and export impact.
• Additional pressure came from weak global cues, foreign investor selling, and sector-wide declines, particularly in IT and export-oriented stocks.

Bonus Briefs:

• The US has imposed its highest tariffs since the Great Depression, with Donald Trump’s new trade measures targeting key partners including India, raising concerns over global trade stability.
• Overnight, Brent crude prices rose modestly despite geopolitical tensions, while global markets remained cautious amid heightened economic uncertainty.