1. Moody’s Upgrades India’s Sovereign Rating In Boost For Modi
Moody’s Investors Service has upgraded India’s sovereign rating for the first time since 2004, citing continued progress in the nation’s economic and institutional reforms. The rating agency, on 13 November, upgraded India's rating to Baa2 from Baa3. The outlook on the rating is 'stable'.
Explaining the rationale behind the upgrade, Moody’s said reforms being pushed by the government will help stabilise debt and enhance the country’s growth potential.
Moody’s acknowledged the short term weakness in the economy, stating that it expects real GDP growth to moderate to 6.7 percent in the fiscal year ending in March 2018.
Read full story here.
2. Diageo Sues Vijay Mallya Over $40 Million Payout
Weeks before a London extradition hearing, Indian tycoon Vijay Mallya faces a second legal battle after Diageo Plc sued to recover a $40 million payment made when he was ousted from United Spirits Ltd last year. Diageo filed the suit in London on Tuesday after setting out the grievances in its annual report in August.
The drinks giant claims Mallya breached a $75 million agreement, of which it had already paid out $40 million, made when he stepped down as chairman of United Spirits in February 2016.
It’s also seeking about $141 million over questionable payments made by companies affiliated with Mallya. His son, Sidhartha, is also named in the suit. Diageo has amassed a 55 percent stake in United Spirits since it first purchased a share of the Indian whiskey producer in 2013.
(Source: Livemint)
3. US Move to Hike H1B Minimum Wages Will Hit Indian IT Sweatshops
A new legislation in the United States — which proposes to increase minimum wages, paid to foreign tech workers employed in the country on H1B visas, from $60,000 to $90,000 — has set off alarm bells in India with the National Association of Software and Services Companies (NASSCOM), saying that the proposed law is “arbitrarily targeting” Indian companies which took up only a small portion of these visas last year.
Two days ago, a judiciary committee of the US House of Representatives approved the bipartisan Bill ‘Protect and Grow American Jobs Act’, proposed by Republican Congressman Darell Issa and Democratic Congressman Scott Peters, to raise minimum H1B wages from $60,000 to $90,000. The Bill also proposes making Master’s degrees mandatory to qualify for work with H1B visas.
The Bill will now proceed to the full House and will also have to be taken up by the Senate before it comes into effect. The law proposed by Darell Isa is among several intended to modify the H1B visa programme which is seen as being instrumental in taking jobs away from US citizens and handing them over to foreign tech workers, especially Indians.
(Source: Indian Express)
4. Toyota and Suzuki in Tie-Up to Sell Electric Vehicles in India
Japan-based auto giants Toyota Motor Corporation and Suzuki Motor Corporation said on Friday that they will co-operate on introducing electric vehicles (EVs) in India by 2020.
The two companies said in a joint statement that they have concluded a memorandum of understanding (MOU) to take forward a co-operative structure under which Suzuki will produce EVs for the Indian market and will supply some of them to Toyota, which will provide technical support.
The announcement by the two companies comes at a time when the Indian government is pushing for electric vehicles, setting a target of an all electric fleet by 2030.
Read full story here.
5. Mukesh Ambani May Outsmart Amazon
Amazon.com Inc. better watch out.
The $200 billion e-commerce market Morgan Stanley is forecasting for India by 2027 just got a new contender – with a very different plan.
Energy tycoon Mukesh Ambani has already disrupted the country's telecom industry. His next big foray may be online retail.
But India's richest man may not create a marketplace of his own. According to an Economic Times report, Ambani's Reliance Industries Ltd. wants to leverage its Jio wireless service and hand out digital coupons, which customers can then use to get discounts at their neighborhood stores.
(Source: BloombergQuint)
6. Infosys Rs 13,000 Crore Buyback to Open on 30 Nov
India's second largest IT company Infosys on Friday said its Rs 13,000-crore buyback offer will open on 30 November and end on 14 December.
Outlining the buyback dates in a regulatory filing, Infosys said that the company through letter dated 16 November received observations from the Securities and Exchange Board of India on the draft letter of offer for the buyback.
The share buyback, which will be the first in the company’s 36-year long history, will see Infosys buying back over 11.30 crore shares at Rs 1,150 apiece.
(Source: PTI)
7. Uber Looks Beyond Smartphones To Catch Up With Ola
Ride-hailing giant Uber Technologies is moving beyond smartphones in its battle for users with Ola.
The taxi aggregator will soon allow users to book a cab by making calls for pick-ups at designated spots, the San Francisco-based company said on Friday. “Calling over phone is still a natural experience for emerging markets, and some of the riders prefer booking a ride through calls,” said Daniel Graf, vice-president and global head, product, at Uber.
It’s piloting Uber hotspots at popular zones in Pune, and will soon expand the service to the rest of the country, and globally. The company also introduced a web-based version of Uber for users who don’t have an app or own a basic smartphone.
(Source: BloombergQuint)
8. Tesla’s $200,000 Roadster Speeds in Front of Electric Truck
Tesla Inc upstaged its own debut of an electric heavy duty truck on Thursday, 16 November, when a red Roadster pulled out of the big rig's trailer and chief executive Elon Musk said the new $2,00,000 sports car would be the fastest production car ever.
The showmanship wowed the crowd, although some analysts’ heads started throbbing at the variety of new projects launched as the company is struggling to produce the more affordable sedan upon which its future depends.
As the presentation appeared to end, the Tesla Semi opened its trailer, and the Roadster drove out. The sports car with a removable glass roof is an updated version of Tesla's first production vehicle. It can seat four and travel 620 miles (1,000 km) on a single charge, a new record for an electric vehicle, Musk said.
Read full story here.
9. Pass on GST Rate Cut Benefits Immediately, Companies Tell Traders
Top consumer products firms including ITC, Dabur, Nestle and GlaxoSmithKline Consumer have written to distributors, stockists and retailers to pass on the benefit of lower goods and services tax to consumers immediately, irrespective of maximum retail price (MRP) printed on product packs. Some retail channels continue to sell products at MRP, company insiders told ET on Friday, even as the government is moving swiftly to implement anti-profiteering provisions.
“In accordance with the GST laws, we have communicated to all our business and trade associates, directing them to start charging the revised lower GST rates, wherever applicable, on all existing inventory, and pass on the GST benefit to the end consumer,” said Lalit Malik, chief financial officer at Dabur India.
(Source: Economic Times)
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