India is expected to witness economic growth at a healthy 7.3 per cent in fiscal year (FY) 2018 supported by improved domestic demand, steady revival in industrial growth and reduced drag from net exports, said a new Asian Development Bank (ADB) report.
In the latest report, ADB has maintained its earlier forecast of 7.3 per cent in the current fiscal.
In an update to its flagship annual economic publication, Asian Development Outlook (ADO) 2018, ADB maintains its growth outlook for India in line with its April forecasts of 7.3 per cent for FY2018 and 7.6 per cent in FY2019, said ADB in a release.
“We are now starting to see the benefits of reforms that the government of India has implemented over the past year as the economy recovers from a brief adjustment to these policies including the Goods and Services Tax (GST),” said ADB Chief Economist Yasuyuki Sawada.
“We expect growth to maintain its strength and pick up next year as the economy continues to adjust to the reforms and investor sentiment improves,” Sawada added.
India's economy grew by a strong 8.2 per cent in the first quarter of FY2018. Private consumption grew by 8.6 per cent in the first quarter of FY2018, with rural demand recovering as the effects of demonetisation waned and rural incomes increased.
Investment grew by 10 per cent in a second consecutive quarter of double-digit growth, spurred mainly by higher government capital expenditure on new infrastructure and an improved business environment.
The manufacturing sector benefited from a low base and resolution of GST teething problems while construction received impetus from rural housing and the creation of new infrastructure.
Growth in services moderated marginally from the previous quarters as some sectors like trade, transport, and communication services continue to adjust to the GST.
Domestic demand will continue to drive growth in FY2018 as rural consumption benefits from favorable weather, higher procurement prices for crops and measures taken to bolster farmers’ income. Private investment is also expected to boost India’s growth with new private sector projects spurring economic activity and creating jobs. Net exports, however, are expected to drag on growth, with imports likely to expand more than exports, ADB said.
Strong growth in recent quarters will be balanced over the rest of FY2018 by higher oil prices and policy rates, and by anticipated spillover from global trade turmoil and slower global capital flows.
However, growth is expected to accelerate in FY2019 due to improving investment performance as well as beneficial GST impacts including additional revenue, more public investment, and higher corporate productivity as obstacles to business are removed.
Progress on the resolution of some of the banking sector stress would also aid growth by improving credit flows and boosting investment.
Inflation is expected to hit 5.0 per cent in FY2018, revised slightly upwards from ADB’s estimate in April of 4.6 per cent as rising global oil prices and a weaker Indian rupee push retail prices for petroleum products higher. ADB also expects 5.0 per cent inflation in FY2019, highlighted ADB.
While export growth will likely remain strong in FY2018 as the currency becomes more competitive and the business climate improves, the risk of intensifying global trade conflict could hurt the sector’s performance. Imports are likely to outpace exports due to higher oil prices and revival of domestic demand, resulting in the current account deficit widening to 2.4 per cent of gross domestic product (GDP).
Healthy growth in advanced economies and a more competitive manufacturing sector are expected to boost exports in FY2019 while imports are likely to remain strong reflecting high oil prices. The current account deficit is likely to widen slightly to 2.5 per cent of GDP in FY2019.
India’s macroeconomic fundamentals remain strong despite sharp rupee depreciation in the past few months, which is largely due to changes in global capital flows. The government of India has taken measures to mitigate the impact of depreciation as well as the risk of further depreciation.
Choksi, accused in a bank fraud case in India, has been arrested in Belgium and plans to appeal for release, citing medical grounds. (Photo: Getty Images)
FUGITIVE jeweller Mehul Choksi accused India of orchestrating his kidnapping to extradite him on fraud allegations, with his lawyers telling London's High Court on Monday (16) that only India had the motivation and resources to do so.
Choksi – who was arrested in Belgium in April – is wanted in India over his alleged involvement in one of India's biggest bank frauds at Punjab National Bank, which in 2018 announced it had discovered alleged fraud worth $1.8 billion (£1.29bn).
Choksi is separately suing the Indian government in London, arguing that the state was responsible for his kidnapping in Antigua in 2021, when he says he was abducted and taken to Dominica in an attempt to extradite him to India.
India's lawyer Harish Salve said in court filings that "there is no evidence of India having anything to do with the alleged events".
Choksi alleges he was beaten in a failed attempt to extort a false confession and implicate India's political opposition, which he says points to state involvement in the incident.
Choksi's lawyer Edward Fitzgerald told the court: "The evidence points inevitably to India being behind this – they had the motivation, they had the resources."
Monday's hearing, the first since Choksi filed his case last year, was held to decide when India's application to throw out Choksi's lawsuit on state immunity should be held.
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The Consumer Prices Index (CPI) stood at 2.6 per cent in March, down from 2.8 per cent in February, the Office for National Statistics (ONS) said. (Representational image: iStock)
UK INFLATION eased slightly in May but remained above expectations, according to official figures released on Wednesday, adding to speculation that the Bank of England will keep interest rates unchanged this week.
The Consumer Prices Index fell to 3.4 per cent in May from 3.5 per cent in April, which had marked a 15-month high, the Office for National Statistics (ONS) said.
Analysts had expected a bigger drop to 3.3 per cent.
The release came after separate data last week showed that the UK economy contracted more than expected in April.
Gross domestic product fell by 0.3 per cent, driven by a tax increase on UK businesses and a sharp decline in exports to the United States linked to president Donald Trump's tariffs.
Political responses
Chancellor Rachel Reeves said, "Our number one mission is to put more money in the pockets of working people."
Mel Stride, the finance spokesperson for the opposition Conservatives, said inflation staying "well above" the Bank of England's 2 per cent target "is deeply worrying for families".
The Bank of England is expected to leave its key interest rate unchanged at 4.25 per cent when it announces its decision on Thursday.
Mixed price movements
"A variety of counteracting price movements meant inflation was little changed in May," said Richard Heys, acting chief economist at the ONS.
"Air fares fell this month, compared with a large rise at the same time last year," he said. However, higher prices for chocolate and meat helped to offset the fall in motor fuel costs.
Danni Hewson, head of financial analysis at AJ Bell, said, "The escalating conflict between Israel and Iran has impacted the oil price in the past week, with UK motorists already bracing themselves for hikes and airfares also expected to soar."
Interest rate outlook
The Bank of England cut interest rates last month by a quarter point, its fourth reduction in nine months, as tariffs continued to weigh on economic growth.
Analysts expect the central bank to maintain that pace of easing until at least early next year.
Sarah Coles, head of personal finance at Hargreaves Lansdown, said, "The fact that inflation has fallen back slightly... should bring some comfort to the Bank of England as it considers the next move for interest rates."
"They were expecting inflation to remain well above target at this point in the year, so it won't necessarily spark a rethink on rates.
"Before the announcement, the markets were expecting two more cuts by the end of the year, and there's a reasonable chance this won't move significantly on the back of today's news," she added.
A NEW study revealed that India has become the top source of foreign-born founders behind America’s most valuable start-ups, highlighting the country's growing influence in the global technology sector.
Research by Stanford University’s Venture Capital Initiative showed that Indian entrepreneurs have founded 90 "unicorn" companies - start-ups valued at over $1 billion - in the US.
According to the report, Indian Institutes of Technology (IITs) dominate the rankings, with IIT Delhi leading the pack by producing 16 unicorn founders, including Jyoti Bansal who created AppDynamics. IIT Bombay follows closely with 14 founders, while IIT Kanpur has contributed 12, including the team behind cloud computing giant Nutanix.
Among the 165 US unicorn founders who studied at Indian universities, 81 per cent pursued either computer science or engineering degrees, the report noted.
“Indian entrepreneurs have become essential to the US’s innovation economy. India has contributed 141 unicorn founders who received their undergraduate education from Indian universities, again leading all countries outside the US. Most impressively, startups founded by Indian entrepreneurs who relocate to the US are 6.5 times more likely to achieve unicorn status than the average,” author of the report, Ilya A. Strebulaev, told Eastern Eye.
This pattern of immigrant entrepreneurship isn't unique to the US. In Britain, foreign-born founders play an equally vital role in the start-up ecosystem, according to data from Financial Times-backed tracker Sifted.
Despite foreign-born residents making up less than 15 per cent of the UK's population, they account for 39 per cent of the country's 100 fastest-growing companies. The USwas the most common country of birth for foreign-born founders in the UK, followed by Italy, France, Canada, India and Germany.
Asian entrepreneurs have been particularly successful, founding major unicorns including Oxford Nanopore Technologies and Hopin. Data shows that 24 per cent of Britain's unicorn companies now have foreign-born founders, with entrepreneurs coming from 28 different countries across five continents.
According to the Stanford report, California's unicorn companies employ approximately six per cent of their workforce in India on average, making the country the largest international talent pool for these billion-dollar firms. This creates valuable professional networks that often serve as launching pads for future entrepreneurs, as employees gain industry experience before starting their own ventures.
“India's technical education system has created a "national asset" in the global knowledge economy. The success of Indian entrepreneurs in the US also strengthens India's own start-up ecosystem through knowledge transfer, investment flows, and mentorship connections. As technology continues to drive worldwide economic growth, India's position as a primary source of high-impact entrepreneurs looks set to become even more significant in the years ahead,”
Strebulaev, who is the David S. Lobel professor of private equity at Stanford Graduate School of Business, pointed out.
Immigrant entrepreneurs are not just contributing to the US’s innovation boom - they are driving it, the report said. It analysed 1,078 founders behind 500 US unicorns and found that 474 founders came from abroad, representing 65 different countries across six continents.
Beyond individual founders relocating, entire companies are moving to the US to access its unique scaling advantages. The research showed that eight per cent of US unicorns - 88 out of 1,108 companies - were initially founded elsewhere before relocating to US soil. The benefits of this move are dramatic: Israeli start-ups that relocated to the US were nine times more likely to achieve unicorn status than those that remained at home, while Indian companies saw a 6.5-fold improvement in their chances.
“Successful examples of this trend include messaging platform Slack from Canada, gaming engine Unity from Denmark, and meditation app Headspace from Britain. These companies discovered that whilst great ideas can emerge anywhere, the American ecosystem offers unparalleled resources for growth,” the report said.
“Location choices within America also matter significantly. While California remains the top destination, international founders are increasingly strategic about where they establish operations. Israeli entrepreneurs often favour New York over California, and 15 per cent of all US unicorns have moved their headquarters at least once between founding and reaching billion-dollar valuations.”
Analysis of 191 California-based unicorns revealed that only 38 per cent of their 375,000 employees actually work in California. Nearly a third are employed elsewhere in the US, while another third work overseas, creating a truly international workforce.
When measuring entrepreneurial productivity per capita, Israel leads dramatically with 43.4 unicorn founders per 100,000 first-generation immigrants, followed by New Zealand at 37.3 and Belgium at 24.4. By comparison, India produces 2.5 unicorn founders per 100,000 immigrants, though it still contributes the highest absolute number.
The innovation ecosystem in the US thrives precisely because of this global talent mix, the research noted. With nearly equal numbers of US-born and immigrant founders, researchers describe this as "powerful complementarity".
Meta has announced the appointment of Arun Srinivas as the new Managing Director and Head of its India operations. He will assume the role from 1 July 2025, reporting to Sandhya Devanathan, who was recently promoted to oversee Meta's operations in both India and South East Asia.
Expanded role for Srinivas
In his new position, Srinivas will be responsible for aligning Meta’s business, innovation, and revenue priorities to better serve partners and clients across India. His focus will include strengthening strategic relationships with advertisers, developers, and brands, as well as continuing to support Meta’s long-term growth in the region.
Srinivas will lead efforts to drive the company’s India charter and will play a key role in supporting initiatives around Reels, AI, and messaging services, which are key strategic priorities for the tech giant in the country.
Background and previous experience
Srinivas is currently the Director and Head of Ads Business for Meta in India, a position he has held since joining the company in 2020. In that role, he has worked with many of India’s top advertisers and agency partners, contributing to Meta’s growth in the region.
An alumnus of IIM Kolkata, Srinivas brings nearly 30 years of experience in sales and marketing. He has held senior roles at Hindustan Unilever, Reebok, OLA, and investment firm WestBridge Capital.
Leadership comments
Commenting on the appointment, Sandhya Devanathan, Vice President for India and South East Asia, said: “Arun’s track record in building high-performing teams and fostering strong partnerships makes him the ideal leader to drive Meta’s continued investment in India.”
Meta considers India a key growth market and continues to focus on expanding its presence through innovations in AI, Reels, and WhatsApp.
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President Trump reported earning over $8 million in 2024 from various licensing agreements
The Trump Organization has announced the launch of Trump Mobile, a branded mobile phone service and a $499 smartphone, both expected to debut in September 2025. This marks the latest in a growing list of commercial ventures associated with President Donald Trump.
The 47 Plan: patriotic branding and telecoms offering
Trump Mobile’s service package, dubbed The 47 Plan, will cost $47.45 per month and include unlimited calls, texts, and data. Customers will also receive roadside assistance and access to a “Telehealth and Pharmacy Benefit”. Both the name and pricing of the plan are symbolic, referencing Trump’s political position as the 47th president of the United States.
A smartphone branded as the “T1” will also be available, priced at $499. Promotional images depict the phone with a gold-coloured casing etched with an American flag and the campaign slogan “Make America Great Again” displayed on the home screen.
Primarily a licensing venture
According to the Trump Mobile website, the service is not directly operated by the Trump Organization. Instead, it functions through a licensing agreement. A disclaimer states: “Trump Mobile, its products and services are not designed, developed, manufactured, distributed or sold by The Trump Organization or any of their respective affiliates or principals.”
This approach follows a familiar pattern in Trump’s business dealings, where his name is licensed to products and services in exchange for royalties. Previous examples include Trump-branded watches, trainers, wine, and even Bibles.
Financial and ethical implications
President Trump reported earning over $8 million in 2024 from various licensing agreements. While these ventures present lucrative opportunities, they continue to attract ethical scrutiny due to concerns about a sitting president profiting from branded commercial activity.
Nonetheless, Trump Mobile represents another step in merging political identity with consumer branding.
How it compares in the telecoms market
At $47.45 per month, Trump Mobile’s 47 Plan is more expensive than many competitors. Verizon-owned Visible offers a similar unlimited plan for $25 per month, while Mint Mobile charges $30 for its comparable package.
T1 , priced at $499The Trump Organization
Despite this, Trump Mobile claims to provide “the same coverage as the 3 nationwide phone service carriers”, a reference to Verizon, AT&T and T-Mobile. It also promotes a US-based customer support centre, though representatives have declined to confirm the location for “security reasons”.
Market reception and outlook
While major wireless providers have not commented on the launch, Trump Mobile may appeal to a customer base aligned with President Trump’s brand and values. Whether the venture will gain broader traction in the competitive telecommunications market remains to be seen.
As the launch date approaches, Trump Mobile is likely to generate further attention—both for its political undertones and its attempt to reshape how presidential branding intersects with consumer technology.