Finance
NAREDCO President urges govt to cap GST on building materials at 18%
NAREDCO President G Hari Babu requests the government to reduce GST rates on building materials to 18 percent. He also asks for Input Tax Credit on commercial assets. Delhi CM Rekha Gupta assures industry members of infrastructure revamp in two years. She invites PPP models for development. NAREDCO Delhi focuses on sustainable real estate growth.
Central banks are building a haven of bullion assets
Central banks net bought 166 tonnes of gold in three months to June, 33% lower quarter-on-quarter, World Gold Council (WGC) data showed. While this is the lowest quarterly number since June 2022, it is 41% higher than the average quarterly level seen between 2010 and 2021, before buying ramped up sharply in more recent years, WGC data showed.
UPI transactions hit record high of 19.47 bn in July; NPCI limits balance check to 50/day
UPI transactions in India hit a record high of 19.47 billion in July, valued at Rs 25.08 lakh crore, signaling a shift towards digital payments among nanopreneurs and retailers. UPI, accounting for 85% of India's digital transactions and nearly 50% of global real-time payments, is now live in seven countries, including France, marking its European debut.
Rs 2,000 notes worth Rs 6,017 cr still in circulation: RBI
Even after the Reserve Bank of India withdrew Rs 2,000 notes, a significant amount remains in circulation. Official data indicates Rs 6,017 crore worth of these notes are yet to be returned. The RBI had initially withdrawn the notes in May 2023. A large percentage of the notes have been returned since then.
FPIs continue to sell Indian debt, for 4th month in a row
Foreign portfolio investors continued their net selling of Indian debt through the fully accessible route in July, marking the fourth consecutive month of outflows. Net sales reached ₹455 crore amidst rupee pressure and uncertainty surrounding policy decisions. Hopes for further rate cuts diminished after the RBI emphasized long-term inflation and growth considerations.
AIIB sees India exposure growing to USD 20 bn in 5 yrs from USD 12 bn
Asian Infrastructure Investment Bank may increase its investment in India. The investment could reach USD 20 billion in five years. Currently, AIIB's exposure to India is USD 12 billion. AIIB has asked borrowers to list potential projects. The bank plans to increase annual lending to USD 17 billion. India is the largest borrower in AIIB's portfolio.
Cabinet approves Rs 2,000 crore grant-in-aid for NCDC
The Union Cabinet has approved a significant financial boost for cooperatives. A Rs 2,000 crore grant will be provided to the National Cooperative Development Corporation. This move aims to empower the NCDC to mobilize more funds. It will further lend to cooperatives across various sectors. The initiative is expected to benefit millions of cooperative members.
UPI at a crossroads? Deep unease in the informal sector as tax axe falls
India's UPI system, despite its global success, faces backlash as small vendors receive GST notices based on digital transaction data. This has led to a shift back to cash transactions, with vendors fearing tax scrutiny. Concerns rise that aggressive formalisation efforts may push the informal economy further underground, undermining the goals of financial inclusion and transparency.
Experts to parliamentary committee: ONOE can lead to 1.5 percentage point rise in GDP
N K Singh and Prachi Mishra presented an economic case for simultaneous elections to a parliamentary committee, projecting a potential 1.5% GDP growth, equivalent to ₹4.5 lakh crore. They highlighted increased capital expenditure and investment, but cautioned about a 1.3% rise in the fiscal deficit due to post-election spending.
PM Modi to release Rs 20,500 crore PM-Kisan installment for 9.7 crore farmers on Aug 2
Narendra Modi will release the 20th PM-Kisan installment from Varanasi on August 2. This will benefit 9.7 crore farmers nationwide with Rs 20,500 crore. The direct benefit transfer scheme completes five years. Over Rs 3.69 lakh crore has been transferred through 19 installments. Farmers must complete e-KYC and link Aadhaar to receive the benefit.
Must Watch
Govt aims to collect Rs 4.18 lakh cr from cess, Rs 1.72 lakh cr from surcharge in FY26
The central government anticipates increased revenue from cess and surcharges. The target is over Rs 4.18 lakh crore from cess and over Rs 1.72 lakh crore from surcharges in fiscal year 2026. These collections will fund specific needs, including centrally sponsored schemes. Currently, eight different cesses are in operation.
RBI purchases half a tonne of gold in June
Gold has emerged as the fastest growing component of India's foreign exchange reserves in recent years, with the value of the yellow metal climbing more than 80% in the past 5 years. Its share in India's foreign exchange reserves climbed to 12.1% as of July 18, 2025, from 8.9% as of July 19, 2024.
Digital payments rise 10.7 pc at end-March 2025: RBI data
Digital payments in India are growing. Reserve Bank of India data shows a rise of 10.7 percent in digital transactions as of March 2025. The Reserve Bank of India - Digital Payments Index now stands at 493.22. This increase is due to better payment infrastructure and performance. The index measures the growth of digital payments using five parameters.
Amid FDI slump, focus turns on chemical, leather and electronics
The government is actively working to attract more foreign direct investment (FDI) into sectors like chemicals, ESDM, leather, and footwear, collaborating with states to diversify supply chains. This push comes amid a drop in FDI equity inflows, with a focus on achieving an annual target of $100 billion. Efforts to ease business operations continue through the Jan Vishwas 2.
Andhra Pradesh CM Chandrababu Naidu lands in Singapore to woo investors
Andhra Pradesh Chief Minister N Chandrababu Naidu has commenced a five-day official visit to Singapore, aiming to attract investments and strengthen ties with the Telugu diaspora. He is scheduled to participate in 29 programs, including meetings with Singaporean ministers and business leaders.
No GST on UPI transactions: Govt clarifies in Rajya Sabha
The Finance Ministry has clarified that there are no plans to impose GST on UPI transactions exceeding Rs 2000. Pankaj Chaudhary, Finance Minister of State, informed the Rajya Sabha about this decision. The GST Council has not recommended any such levy. GST rates are determined based on the GST Council's recommendations.
