In a move that surprised many RBI watchers, the appointments committee of the union cabinet has named revenue secretary Sanjay Malhotra as the next Reserve Bank of India Governor. He replaces Shaktikanta Das, who has already served as RBI’s longest serving chief since Sir Benegal Rama Rau, the first Governor appointed after independence. An IIT-Kanpur graduate with a master’s in public policy from Princeton University, the 56-year-old Malhotra is no stranger to tackling policy challenges, reports our bureau. His appointment comes at a time when the RBI is grappling with the dual challenge of slowing economic growth and accelerating inflation. He will assume office on December 11 as the 26th Governor and may need to hit the ground running to steer India’s monetary policy through these uncertain times.
The government now appears to be shifting gears with a more targeted approach to driving industrial growth. Moving away from the production-linked incentive (PLI) scheme, which saw less than 10 percent of the allocated Rs 1.97 lakh crore being utilized, the focus is now on tailored programmes for specific sectors such as electronics and textiles, reports Adrija Chatterjee. This pivot aims to boost manufacturing, which took a hit in the fiscal second quarter.
Meanwhile, midcaps and smallcaps stocks continue to soar, even as experts warn of overheating. Smallcap and midcap indices have risen to near-record highs, driven by investor optimism. Since November 13, both indices have risen nearly 9 percent, with the BSE MidCap index now just 4 percent shy of its record high, while the BSE SmallCap is within a whisker of reaching its peak. The rally follows a steep correction from October to mid-November, during which both indices fell by over 10 percent. However, analysts are sounding the alarm, warning that the rally may not be sustainable.
Things are heating up around the Noida International Airport. As the airport moves closer to reality, with its first successful test landing today, the area is seeing a surge in demand. The Yamuna Expressway Authority, the body responsible for developing the Yamuna Expressway and its surrounding region, has received 1.12 lakh applications for just 451 residential plots near the upcoming Noida International Airport, highlighting the growing appeal of the region, writes Ashish Mishra. The new airport is expected to drive economic growth and infrastructure development.
Turning to agriculture, while states have heavily invested in crop cultivation, the returns have been less than expected. States spent more than half of their agricultural budget on crop cultivation in 2022-23, according to a deep dive by Ishaan Gera. Higher spending on crop cultivation, however, hasn’t translated into higher output, with crop production declining despite increased investments.
And finally, a silver lining for cinema exhibitors: Allu Arjun’s Pushpa 2, the Telugu blockbuster dubbed in Hindi, has emerged as the saviour for beleaguered theatre owners in north India. The film has raked in a whopping Rs 291 crore in just four days, surpassing the collections of mega Bollywood movies such as Jawan and Pathaan. Some trade analysts even predict Pushpa 2 could become the highest-grossing Hindi film ever.
