Daily News - Friday, 18 April 2025

Centre to work with firms to return unclaimed assets (mint)

As of FY24, unclaimed investor assets worth over ₹8,100 crore, including dividends, interest on bonds, and other investments, have been transferred to the Investor Education and Protection Fund (IEPF), up from ₹5,700 crore in FY23, with the value of unclaimed shares possibly exceeding ₹50,000 crore. In response, the Ministry of Corporate Affairs plans to work closely with companies, registrar and transfer agents (RTAs), and market players to identify rightful owners early and reduce fund inflows into IEPF, which has already processed 16,900 claims in FY24 and over 12,200 claims till 15 March in FY25. To streamline the refund process, the government is developing an integrated IT portal led by MeitY’s Bhaskaracharya National Institute, aiming to improve cross-verification, public awareness, and ease of claim submissions. 

‘Trade war can hit investment decisions’ (mint)

Finance Minister Nirmala Sitharaman warned that escalating tariff wars and rising protectionism, exemplified by the US imposing 245% tariffs on Chinese goods and China’s retaliatory 125% levies, are disrupting global supply chains, increasing production costs, and clouding investment decisions worldwide, including their ripple effects on Indian financial markets. Despite these global uncertainties, India’s markets have remained resilient with foreign portfolio investors investing ₹17,500 crore in financial stocks in March 2025, and domestic institutional investors (DIIs) recording massive inflows of ₹6.1 trillion in FY25, far surpassing the ₹1.3 trillion net outflows from foreign investors. Highlighting India’s capital market depth, Sitharaman noted a threefold rise in IPOs from 106 to 320 over five years, culminating in a record ₹4.2 trillion worth of share issuances in FY25 double the previous year’s figure. 

Indian economy to be bigger than Germany, Japan in 3 yrs: Niti CEO (Financial Express)

⁠India, currently the world’s fifth-largest economy at $4.3 trillion, is projected to surpass Germany and Japan within three years to become the third-largest, and could rise to the second-largest by 2047 with a potential GDP of $30 trillion, stated NITI Aayog CEO B.V.R. Subrahmanyam. He emphasized India’s democratic advantage and its potential to emerge as a global education hub and stable supplier of skilled, working-age individuals, citing ongoing workforce migration to countries like Japan and Germany. As India transitions from a low- to middle-income economy, Subrahmanyam urged Indian firms to focus on becoming global leaders and to drive the shift towards a knowledge-based economy.

⁠CGD firms may hike CNG prices by ₹2/kg after cut in allocation (Financial Express)

The recent 18–20% cut in administered price mechanism (APM) gas allocation to city gas distribution (CGD) firms has weakened their profitability outlook, with companies like Indraprastha Gas, Mahanagar Gas, and Adani Total Gas now needing to raise CNG prices by ₹1.5–2/kg to offset the costlier replacement with new well gas (NWG), currently priced at $6.75/MMbtu. This move reduces the APM allocation for the CNG segment to 37%, nearly reversing the temporary relief granted in January 2025 that had increased it to ~51%, and poses political and demand challenges for implementing price hikes. As earnings have already declined in recent quarters, and other sectors like fertilizer and power have not faced similar cuts, analysts warn of a further potential decline in CGD allocations amid falling volumes. 

⁠Govt sets ₹3L-cr defence production target by 2029 (Financial Express)

India’s defence production is projected to surpass ₹1.60 lakh crore in 2025, with a target of reaching ₹3 lakh crore by 2029, while defence exports are expected to hit ₹30,000 crore this year and grow to ₹50,000 crore by 2029, Defence Minister Rajnath Singh announced. Emphasizing strategic autonomy and resilience against global supply shocks, Singh highlighted India’s advancements in missile technology, submarines, aircraft carriers, drones, cyber defence, and hypersonic systems, although he noted challenges in aero engine manufacturing, where collaboration with firms like Safran, GE, and Rolls Royce is ongoing under the Kaveri project. He reaffirmed that India’s growing defence strength is not meant to provoke conflict but to serve as credible deterrence, supporting peace through strength and driving the country toward becoming a self-reliant, future-ready global defence leader.