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Power of Thoughts

Year-10, Issue-12, March 2022, Price : `300

GATI SHAKTI

ACCELERATING INFRASTRUCTURAL

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Hike in Capital Expenditures, Boost for Infrastructure & More

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Letter from the Power of Thoughts

Editor

Gati Shakti will act as a catalyst for India's infrastructure sector

Editor in Chief DR. HARIOM TYAGI

Business Editor

News Editor

YOGESH SOOD

RAVINDER KUMAR

Associate Editor

Consulting Editor

ANKIT DWIVEDI NITIN KONDE

RAKESH PUROHIT DINESH GAUR

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SHRISHTI S NAGAR

DEEPAK MANDHAN

A multimodal transportation network will not only provide manufacturers faster access to domestic and international markets, but will have a multiplier effect on the economy too. It will ensure that infrastructure investments flowing into the country are better utilised by our economic hubs, and open the doors for new future economic zones. Thus, the eventual pay-off of a INR 100-lakh crore Gati Shakti project will be inestimably large, kicking in a virtuous cycle of investments, large employment opportunities, aggregate demand, and thus economic growth. Besides, the concerted approach will also help increase India’s air freight share, which has seen a one-of-a-kind upswing since last year. India’s share in the international cargo business was worth INR 1,686 crore in 2019-20, which rose to INR 2,644 crore in 2020-21 (a 57 per cent increase). However, we have only touched the tip of the iceberg. A large part of our freight comprises bulk material which could be more economically served by air. Many centres such as Dubai are making use of concepts like sea-air, where cargo is initially transported by sea freight, and later by air freight. This combination is proven to have led to significant savings in transit time and costs.

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Thus, Gati Shakti could pave the way for a culture of multimodality, where sea, road, rail and air transport modes do not compete with each other, but rather, complement each other. The first steps in the direction of a vision as ambitious as this one are always challenging. Clearly, the government’s ability to take quick action exhibited by the roll out of a master plan for the project in less than two months of its announcement on August 15, underscores the seriousness of its intent to undertake reforms. It is due to these very reforms, undertaken under the stewardship of PM Modi, that India has risen to become a favoured destination for investments. The Gati Shakti vision is yet another important step that will form the basis of the PM’s vision of “Amrut Kaal”— the 25year period till India celebrates 100 years of its Independence — a period that will see India return to its golden age. One of the Modi government’s main objectives in the second term has been a large infrastructure drive, which Gati Shakti continues. By 2024-25, the plan calls for 11 industrial corridors, a defence production turnover of Rs 1.7 lakh crore, and 38 electronics manufacturing clusters and 109 pharmaceutical clusters. The national master plan establishes goals for all infrastructure ministries from 2024 to 2025. For the Road Transport and Roads Ministry, the goal is to build 2 lakh km of national highways, complete 5,590 km of four or six-lane national highways along with coastal areas, and connect all state capitals in the northeast with four-lane or two-lane national highways. Railways must handle 1,600 million tonnes of freight by 2024-25, up from 1,210 million tonnes in 2020, and decongest 51% of the network by constructing additional lines and implementing two Dedicated Freight Corridors (DFCs). By 2025, the goal is to double the present aviation footprint to 220 airports, heliports, and water aerodromes, which will need the construction of an additional 109 such facilities.

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BRIEFING 08

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March 2022

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BIZ TIPS Workplace Flexibility A Shift to New Rules in 2022

INDUSTRY OUTLOOK Develop these habits for enhanced productivity

March 2022

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RNI REG.No DELENG/2013/50357

OD/ MAy / 2020 / INR - 300 UAD - 10 ENG

Year-10, Issue-5, May 2020, Price : `300

Power of Thoughts

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PSU's

EIL EXECUTING A PIPELINE PROJECT FOR APWD

ngineers India's team is executing a pipeline project for a prime construction organisation Andaman Public Works Department, and organisation of the Andaman & Nicobar Administration. The team is laying a 12-inch diameter Carbon steel submarine pipeline to carry freshwater from Rutland to Phongi Balu in Andaman and Nicobar islands. APWD has been mainly entrusted with the work of providing Infrastructural support for the people of the Islands, other departments functioning under the A & N Administration as well as the departments functioning under Ministries and autonomous bodies. These two islands are separated by a sea passage which is approx. 1.2 km in width and approx. 50 meter in depth. The laying of the pipeline had many unique challenges as the project site is an ecologically sensitive zone with forests, coral reefs, and a crocodile sanctuary The APWD undertakes the construction and maintenance of residential and office accommodation for various departments under the Andaman and Nicobar Administration as well as the buildings for Hospitals, Health Centers, Schools, Colleges, Libraries & Stadiums, etc.

COAL COMPANY IS RESPONSIBLE FOR COUNTRY'S ENERGY SUPPLY: COAL SECY DR. ANIL KUMAR JAIN

r. Anil Kumar Jain, Secretary, Ministry of Coal, Government of India, New Delhi on Feb 15, 2022, reviewed the performance of Western Coalfields Limited at the Company's Headquarters. He suggested that WCL should prepare to contribute more in meeting the energy needs of the nation by using new technology, as well as explore other possibilities of profitability. Shri Jain emphasized skill development training of human resources. He also appreciated the plantation done towards the environment of Wakoli. Dr. Jain congratulated the employees

HYDRO CAPACITY BEING ADDED IN TELANGANA IS FINANCED BY PFC & REC LENDING 55,000 CRORES

he Ministry of Power and New and Renewable Energy have seen the text of the statement made by the Chief Minister of Telangana in a speech on 11.02.2022 at Jangaon District Headquarters. This is a lie, says the Minister for Power and MNRE Shri R.K Singh. It is totally false to state that the Central Government forces any State to buy Renewable Energy from any particular developer. The States are free to hold their own bids and buy Renewable Energy from any developer based on those bids. The Solar Energy Corporation of India also conducts open bids for Renewable Energy from time to time. These bids The States are free to are highly competitive; with numerous companies hold their own bids competing and the companies which offer the and buy Renewable least tariff are selected transparently through Energy from any the open bid. developer based on those bids. The Solar Energy Corporation Thereafter, States which desire to buy power of India also conducts from those bids do so, as per their requirement. open bids for Whether they wish to purchase power at the Renewable Energy rates finalized in the bids or not is entirely States from time to time. own decision. They can choose to have their own bids. Therefore, the statement by the Chief Minister was

DAWN

March 2022

PSU's

of the company for achieving their production target in the remaining days of this financial year. In the review meeting, Manoj Kumar, Chairman-cumManaging Director of WCI presented the details of various activities of the company. Director (Personnel) Dr. Sanjay Kumar, Director Technical (Operations) Jai Prakash Dwivedi, Chief Vigilance Officer Amit Kumar Srivastava, Mukesh Choudhary, Director (CPD/IC), Ministry of Coal and Regional Director of CMPDIL Nagpur Manoj Kumar. Dr. Jain also interacted with the General Managers of all the regions and heads of the Headquarters. Earlier, the Coal Secretary, Labor Union, and senior representatives of CMOAI, Sarv Shri Sunil Mishra, C.J. Met Joseph, and Saurabh Dubey and discussed various issues. Talking to reporters during his Nagpur visit, he said that till the year 2023-24, coal consumers will not need to import coal for power generation. We are moving in the direction of meeting their needs with the country's produced coal. He further said that in the next financial year, Coal India will achieve the target of producing 700 million tonnes of coal. Dr. Anil Kumar Jain held meeting with major power manufacturers Mahagenco, MPPGCL, NTPC, Gujarat Power, Adani Power, GMR etc. Everyone expressed satisfaction for providing sufficient quantity of coal on behalf of WECOLI and expected cooperation from WCL in future also. On Monday 14th February, Dr. Anil Kumar Jain, Secretary, Ministry of Coal (Government of India) and Mukesh Chaudhary, Director (CPD/IC) who accompanied him inspected the South section of Niljai open mine in Wani area of Wakoli. Dr. Jain felicitated the officers and employees who rendered special service to the forest area and during the second wave of Corona.

totally false. In so far as Renewable Energy Purchase Obligation (RPO) is concerned, this is a part of an International Commitment made by the countries to carry out Energy Transition from fossil fuels to non-fossil fuel sources. The whole world is today worried about the deteriorating environment, increasing emissions, and global warming, and all the major countries in the world have made commitments to move away from fossil fuels to non-fossil fuel and to reduce emissions by adopting renewables. All major economies have pledged to achieve net-zero on different target dates. The developed countries have pledged to achieve netzero by 2050. India has pledged to achieve net-zero by 2070. The transition to non-fossil fuels i.e. renewable energy is part of that commitment.

A GAME CHANGER IN PRODUCTION OF WHEELS AT SAIL, DURGAPUR STEEL PLANT

t present, DSP is making coach wheels for Indian Railways through the Concast route from 340 mm Concast rounds and loco wheels rounds made through the bottom pouring ingot casting route. The coach wheels produced from the Concast route had high productivity and were almost defect free without any rejections in the Ultrasonic Testing. But aimed at striving for newer achievements it was decided to improve the steel quality, overall productivity and elimination & rejection of the loco wheels during Ultrasonic Testing. As such trials were carried out to make wheels from 370 mm rounds through the Bloom cum Round Caster (BRC) route instead of normal bottom pouring route. Some modifications were made in the caster for casting 370 mm rounds in BRC, as the original machine was designed to cast only 340 mm rounds. Similarly in the Wheel Plant also, design of the dies were modified to bring the proper profile of WAG-9 variety of Loco wheels during forging operation. Remarkable success was achieved in the second trial conducted recently for making the WAG-9 variety of Loco wheels using 370 mm Concast rounds. About 130 nos. of WAG-9 loco wheels were produced from 370 mm rounds from two casts and tested. These were found to have zero rejections in Ultrasonic Testing and the wheels were also of excellent quality. Based on the remarkable success, a detailed report was prepared and mailed to RDSO Lucknow seeking their approval for dispatching the newly produced wheels to Indian Railways. Necessary clearance was obtained from RDSO on 14.2.2022 and Durgapur Steel Plant was permitted to produce and dispatch Loco wheels to Indian Railways using 370 mm Concast rounds on a regular basis. Thereafter necessary preparations are being undertaken at DSP to henceforth produce all Loco wheels through the Caster route along with phasing out the old cost intensive bottom pouring route. This will lead to significant improvement in Loco wheel production and overall yield of the process. The credit for this remarkable success goes to the combined efforts and initiatives of employees of SMS, WAP & RCL Department coupled with the support and guidance of senior officials.

The Chief Minister has also talked about hydropower. The Hydro Power capacity he is talking about, have been and is being constructed because of loans given by PFC and REC; both of which are Government of India companies. PFC and REC have together lent INR 55,000 Crores for Kaleshwaram; Palamuru and other Projects. He should be thankful to the Government of India for these projects. The Chief Minister made another statement that the Central Government is pressurizing the States to meter the electric connections to the farmers. This statement is totally false – a lie. Such false and baseless statements do not behove a person who is occupying the august Office of the Chief Minister.

March 2022

DAWN

PSU's

SJVN INAUGURATED RIVER DIVERSION OF 66 MW DHAULASIDH PROJECT INDIA'S COAL PRODUCTION INCREASED TO 79.60 MT IN JAN MONTH

he Chairman and Managing Director of SJVN Limited Nand Lal Sharma today inaugurated the River Diversion Arrangement of 66 MW Dhaulasidh Project at Hamirpur, Himachal Pradesh. With this construction works of Coffer Dam and excavation of Dam Foundation have been set in motion. The 253-meter-long Diversion Tunnel has been completed in a short duration of seven and half months. CMD said that the Foundation Stone of the Project was laid by Hon’ble Prime Minister Sh Narendra Modi on 27th December 2021. The Electro-Mechanical Works amounting to INR 136.64 Crores and Civil & Hydro-Mechanical works for INR 526.92 crores have also been awarded. He said “We are aiming to achieve the target for Project commissioning in 2025. This will help SJVN in achieving the Vision of an installed capacity of 5000 MW by 2023, 25000 MW by 2030 and 50000 MW by the year 2040.” Sh Sharma informed that the 66 MW Dhaulasidh Hydro Electric Project, a Run of River Scheme on river Beas is being implemented on Build-Own-Operate-Maintain basis. On completion, it will add 304 Million Units of energy in 90 per cent dependable year. The Project will lead to the overall upliftment of the area with infrastructure development and generation of direct & indirect employment. Various development works being undertaken by SJVN under Corporate Social Responsibility in the project vicinity is benefitting the region and the State at large. On this occasion Smt Geeta Kapur, Director (Personnel), Sh. S.P Bansal, Director (Civil), Sh. Parminder Awasthi, Head of the Project along with Project officials were also present.

ndia’s coal production increased by 6.13 per cent to 79.60 Million Ton from 75 MT during Jan 2022 as compared to the same month 2020. As per the provisional data of the Ministry of Coal, out of the total production during January this year, Coal India Ltd (CIL) achieved a growth of 2.35 per cent by producing 64.50 MT of Coal. Singareni Collieries Ltd (SCCL) registered a growth of 5.42 per cent by producing 6.03 MT and captive blocks achieved a growth of 44.91 per cent by producing 9.07 MT of coal during the period. Coal despatch increased by 10.80 per cent to 75.55 MT from 68.19 MT during Jan 2022. Out of the total production during Jan 2022, Coal India Ltd (CIL) achieved a growth of 7.71 per cent by despatching 60.85 MT of Coal, Singareni Collieries Ltd (SCCL) achieved a growth of 6.45 per cent by despatching 5.99

RVNL CONDUCTS SPEED TRIAL OF NEW TRACK ON ORR- PIPRAIGAON SECTION

ail Vikas Nigam Limited successfully conducted the speed trial recently on the newly constructed tracks on the ORR- Pipraigaon section of the BinaGuna Double line projects, part of the Bina-Kota double line project CRS inspection and commissioning are targeted to be held by the second week of March 2022. The Bina-Guna section in the Bhopal Division of Bina-Kota doubling project spanning 119.98Km is a highly critical capacity addition project of the Indian Railways. Out of this, the GunaOrr section (57.23 Km) and Bina to Kanjia section (19.87 Km) have been commissioned in the last two years. The time-line of the various milestones achieved in this project are as under:

DAWN

March 2022

Of the 119.98 Km long Bina-Guna section, Ashoknagar – Pilighata(25.7 KM) was commissioned in December 2019, Pilighata – Guna was commissioned in December 2020, Ashoknagar- Orr (13 Km) was commissioned in July 2021, Bina-Kanjiya (19.9 Km) was commissioned in December 2021 & now Orr-Pipraigaon is slated for commissioning in March 2022. Thus, 92.5Km was executed in the last two years. The work is being executed at a brisk pace despite the Covid limitations. The work of doubling between Orr to Pipraigaon has now reached the final stage. As part of this project, the engine run trial in this section has been successfully completed today i.e., on 16.02.2022. The speed trial in this section has been completed by an electric locomotive at a maximum speed of 110 kmph.

PSU's

IRCON ACHIEVED YET ANOTHER MILESTONE

MT and captive blocks registered a growth of 43.55 per cent with 8.71 MT of coal despatch during the period. Of the top 35 mines producing coal, 14 mines performed more than 100 per cent and another six mines’ production stood between 80 and 100 per cent. At the same time, power utilities despatch has grown by 18.70 per cent to 63.22 MT of coal in the month of Jan 2022 as compared to 53.26 MT in Jan 2020. Coal based power generation has registered a growth of 9.21 per cent in the month of Jan, 2022 in comparison to Jan 2020. The overall power generation in Jan 2022 has been 6.69 per cent higher than in Jan 2020. Further, coal based power generation in the month of Jan 2022 has been 88642 MU in comparison to 85579 MU in Dec 2021 and registered a growth of 3.58 per cent. Total power generation has also increased in Jan 2022 to 115757 MU from 113094 MU in Dec 2021. Coal production of FY 22 has been compared with FY 20 as FY 21 has been considered as abnormal year due to Covid-19 pandemic.

RCON achieved yet another milestone of completion of Main Tunnel excavation of 12.76 km twin tube tunnel (Tunnel No. T49), which is slated to be the longest Railway Tunnel in India and is a part of 272 Km long USBRL Project, keeping with its tradition of completing large infrastructure projects. On 15th Feb 2022, breakthrough of Main Tunnel was achieved, with pin point accuracy of horizontal and vertical alignment, depicting the technical expertise of IRCON in executing large infrastructure projects under challenging conditions. Tunnel T49 is a Modified Horse Shoe shaped tunnel with parallel escape tunnel with Cross-passages at every 375 m, under a maximum overburden of 1.1 Km. In addition to above, 3 Nos of Adits were also constructed to facilitate construction. The maximum drive length from single face was 4.07 Km. Previously IRCON has completed & commissioned more than 137 km of Railway Track in USBRL Project including completion of State-of-the-Art Tunnel No. T80 which is 11.2 Km long.

EIL CMD ALONG WITH DIRECTOR PROJECTS MET CEO EESL

hairman and Managing Director of Engineers India Limited (EIL), Vartika Shukla and Director (Projects), S K Handa Toady met with the CEO EESL, Arun Kumar Mishra, Director (Projects), Venkatesh Dwivedi. The other senior officials from EESL India also presented to explore avenues for collaboration in the areas of energy efficiency and to carry forward GOI's mission of GreenEnergy for a Self Reliant and Atmanirbhar Bharat. EESL's energy efficiency solutions have saved India over 47 billion kWh energy annually while reducing 36.5 million tonnes of carbon emission. On the same hand, EIL provides indigenous technology solutions across hydrocarbon projects.

The other salient works accomplished on this Pipraigaon- Orr section include the construction of 3 major bridges, 3 minor bridges, and 3 RUBs.

in full swing, and soon after completing the work of Non-Interlocking, and after inspection & certification of Commissioner of Railway Safety, this section will be opened for regular train operations.

New platforms have been constructed at Rahatwas, Pipraigaon, and Orr stations and the work of construction of foot over bridge at Rahatwas and Pipraigaon stations is in progress.

It may be noted that the total length of doubling of the Bina-Guna section in the Bhopal division of the BinaKota doubling project is 119.98 km and out of this, the Guna-Orr section (57.23 Km) and Bina to Kanjia section (19.87 Km) have already been commissioned in the last two years only.

This section of Orr-Pipraigaon (14.415 km) is slated to be inspected by the Commissioner of Railway Safety in the second week of March, following which the double line section will be opened for regular train operations. This double line section will be a major capacity addition to the train operations and will save a lot of time. Besides, it will enable the availability of requisite time-slots for maintenance works viz. blocks & caution for regular upkeep of tracks. The sequel preparatory works for non-Interlocking working at all three stations i.e., ORR, Rahatwas, and Pipraigaon are now

The work of doubling of all the sections has been completed in the last two years as indicated above. Rail Vikas Nigam Limited has been steadily enhancing the momentum of works and it is envisaged that the remaining section viz. Pipraigaon to Kanjia and Mahadevkhedi-Malkhedi sections will also be completed soon and thus the entire section of Bina-Guna & MahadevkhediMalkhedi section of Bhopal Division will be commissioned expeditiously. The completion of this project will be a major boost to enhance line capacity on this high-density rail traffic route.

March 2022

DAWN 11

COVER STORY

GATI SHAKTI ACCELERATING INDIA'S INFRASTRUCTURAL TERRAIN

Prime Minister Narendra Modi recently launched Gati Shakti scheme with a tagline 'Pragati ki Gati Bharat Ki Shakti' meaning Development with pace is India's strength. This scheme will incorporate the infrastructure arrangements of various Ministries and State Governments such as Bharatmala, Sagarmala, inland waterways, dry/land ports, UDAN etc. Economic Zones such as textile clusters, pharmaceutical clusters, defence corridors, electronic parks, industrial corridors, fishing clusters, agri zones will be covered to improve connectivity & make Indian businesses more competitive. PM GatiShakti is designed to break departmental silos and institutionalise holistic planning for stakeholders across major infrastructure projects and to ensure that the country does not waste money or time due to lack of coordination in infrastructure projects. Under the plan, everything, from roads to railways, from aviation to agriculture, various ministries and departments would be linked.

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History & Steps to overcome challenges Traditionally, there was lack of coordination between different Departments, for example, once a road was constructed, other agencies dug up the constructed road again for activities like laying of underground cables, gas pipelines etc. This not only caused great inconvenience but was also a wasteful expenditure. To address this, efforts were made to increase coordination so that all cables, pipelines etc. could be laid simultaneously. Steps have also been taken to address other issues like time-taking approval process, multiplicity of regulatory clearances etc. In the last few years, the Government has ensured unprecedented focus on infrastructure through a holistic outlook. This helps to address the past issues through institutionalizing holistic planning for stakeholders for major infrastructure projects. Instead of planning & designing separately in silos, the projects will be designed and executed with a common vision.

PM Gati Shakti is based on six pillars: Comprehensiveness: It will include all the existing and planned initiatives of various Ministries and Departments with one centralised portal. Each and every Department will now have visibility of each other's activities providing critical data while planning & execution of projects in a comprehensive manner.

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Prioritisation: Through this, different Departments will be able to prioritize their projects through cross-sectoral interactions. Optimisation: The National Master Plan will assist different ministries in planning for projects after identification of critical gaps. For the transportation of the goods from one place to another, the plan will help in selecting the most optimum route in terms of time and cost. Synchronisation: Individual Ministries and Departments often work in silos. There is lack of coordination in planning and implementation of the project resulting in delays. PM Gati Shakti will help in synchronizing the activities of each department, as well as of different layers of governance, in a holistic manner by ensuring coordination of work between them. Analytical: The plan will provide the entire data at one place with GIS based spatial planning and analytical tools having 200+ layers, enabling better visibility to the executing agency. Dynamic: All Ministries and Departments will now be able to visualize, review and monitor the progress of cross-sectoral

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The National Master Plan will assist different ministries in planning for projects after identification of critical gaps projects, through the GIS platform, as the satellite imagery will give on-ground progress periodically and progress of the projects will be updated on a regular basis on the portal. It will help in identifying the vital interventions for enhancing and updating the master plan.

Clearing the barriers Until now, infrastructural development in various sectors was not working concurrently, thereby hurting decisionmaking and the pace of economic

development. With the launch of the master plan, planning and designing separately, projects will be designed and executed with a common vision, breaking inter-ministerial silos. “Those who are our private players do not know whether the road is going to pass through here, or a canal is going to be built there, or a power station will come up somewhere. The solution to all these problems lies in Gati Shakti,” said Modi. The master plan has been prepared depicting economic zones and infra linkages required to support them with the objective to holistically integrate all multimodal connectivity projects and remove missing gaps for seamless movement of people, goods, and services. The comprehensive map provides a bird’s eye view of infra development with key layers, based on completion timelines of various economic zones, infra, and utilities across the country. A senior government official said the master plan aims to achieve a network of 200,000 km national highways, increase cargo capacity of ports to augment power transmission capacity, as well as enhance renewable energy capacity. It aims to set up mega food parks, agro-processing

COVER STORY

changes, if any, to the master plan to meet emerging requirements. The industry welcomed the initiative. “Coming close on the heels of the National Infrastructure Pipeline and the National Monetisation Plan, the Gati Shakti vision will underscore the primacy of place accorded by the PM to develop world-class infra facilities crucial to improving business sentiment and speeding up the country’s vision to emerge a USD 5-trillion economy in the near future,” said T V Narendran, president, Confederation of Indian Industry.

centres, defence corridors, electronics manufacturing and textile clusters, and pharmaceutical and medical devices clusters. Arindam Guha, partner and leader (government and public services), Deloitte India, said if the multiplier effect of infra investments on gross domestic product is to be maximised within a shorter time frame, it is critical that specific infra projects - which form a part of critical trade routes (both internal and external) - be prioritised. “For example, specific road and rail connectivity linkages or evacuation points like ports and airports, which form a part of designated industrial corridors like Delhi-Mumbai Industrial Corridor, East Coast Economic Corridor or AmritsarKolkata Freight Corridor, are likely to have a disproportionate positive impact on trade flows of multiple products manufactured in the corridor. Same is the case with last-mile connectivity infra to large operational and upcoming industrial parks on the brink of completion. The Gati Shakti initiative, with its technology platform for real-time monitoring of projects and supporting coordination mechanisms between ministries and government agencies, is expected to

The industry welcomed the initiative. “Coming close on the heels of the National Infrastructure Pipeline & the National Monetisation Plan provide a major boost in the prioritisation of such projects,” said Guha. The plan is built on a single platform ranging between three time periods - status as on 2014-15, achievements made by 2020-21, and planned interventions up to 2024-25 for providing visibility on the completion of projects and consequently, helping different ministries plan their activities better. An empowered group of secretaries under the chairmanship of the Cabinet secretary is proposed to be constituted for approving

Gati Shakti for layman • PM Gati Shakti is a digital platform that will bring 16 ministries together for coordinated implementation of infra projects • Will provide convenience through multimodal connectivity • Master plan to provide analytical decision-making tool to investors, policymakers • Movement of goods and people to become seamless, create possibilities for development of more economic zones • Projects will be designed and executed with a common vision across various ministries • An integrated multimodal network planning group will be responsible for unified planning and integration of proposals Why does infrastructure matter? In economics parlance, multiplier effects accrue to the economy through infrastructure spending. This means that not only does the project contribute immediately through increased demand for labour, construction materials, but also through the second order effects improved connectivity brings. Goods & people will move faster between destinations. The cost of logistics comes down. Studies by the Reserve Bank of India and the National Institute of Public Finance and Policy have estimated the multiplier to be between 2.5-3.5x. This means, for every rupee spent by the government in creating infrastructure, GDP gains worth INR 2.5-3.5 accrue. Furthermore, in times

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of economic contractions, this multiplier is larger than the one during times of economic expansion. This could imply that public investment if timed and targeted right, can actually ‘crowd-in’ private investment, rather than ‘crowd-out’. To realise these benefits, raising our capital expenditure as a per cent of GDP will be crucial, at both the Central & State level. At the same time, the infrastructure plan of a country must seamlessly & efficiently move goods & people across various modes of transport. However, this requires a coordinated approach. For instance, roads would feed into railway lines which in turn would feed into ports, efficiently moving goods from the hinterlands to the ports. This would enable the development of multiple urban, industrial centres across India. These urban centres in turn, would enable balanced regional development, as multiple industrial clusters could sprout up across India. Both Central and state government revenues would be bolstered, enabling higher spending on social sectors. This would have the spillover effect of easing pressure on existing urban agglomerations, leading to a higher quality of life across the board. However, while India has tried to achieve the same, an end-to-end seamless, multimodal transportation network is some way away. For instance, roads dominate the share of traffic. 64% of the freight in India is moved through roads. As diesel drives road transport, any spike in oil prices raise prices across the board, through higher transport costs and also because fuel is not part of GST, which means input tax credit is not available. Even post GST, FastTag and other initiatives, it is desirable to aspire for a higher share of railway in modal share as it remains a more efficient method. Furthermore, while many economic zones, industrial parks, logistics hubs and ports were planned, they often suffered owing to inefficient multi-modal connectivity, and also due to their small size. The fragmented nature of decision making, with each department working in silos meant that a disjointed industrial network was created. While several pieces of the puzzle were in place, many remained unconnected as well. A lack of scale in manufacturing and an inefficient logistics network hampered our global competitiveness. However, achieving an efficient, seamless multi-modal transport network is no easy task. It requires independent government

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The fragmented nature of decision making, with each department working in silos meant that a disjointed industrial network was created. departments to work in close coordination and collaboration, guided by an overarching master plan. The Prime Minister during his Independence Day speech of 2021 had emphasised that the National Master Plan, GatiShakti would help realize the dreams of crores of our countrymen. The GatiShakti programme marks a paradigm shift in decision making to break the silos of departmentalism. In the proposed Plan, all the existing and proposed economic zones have

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been mapped along with the multimodal connectivity infrastructure in a single platform. Individual projects of different line Ministries would be examined and sanctioned in future within the parameters of the overall Plan, leading to synchronisation of efforts. GatiShakti will bring synergy to create a world class, seamless multi-modal transport network in India. The National Master Plan will employ modern technology and the latest IT tools for coordinated planning of infrastructure. A GIS-based Enterprise Resource Planning system with 200+ layers for evidencebased decision-making is one example. The use of satellite imagery for monitoring is another. Digitisation will play a big role in ensuring timely clearances and flagging potential issues, and in project monitoring as well. An efficient logistics network is one necessary condition. Another one is achieving economies of scale in manufacturing. Industrial parks and logistics parks need to grow in size to be globally competitive. The National Industrial Corridor Development Corporation (NICDC), formerly DMIDC will work in close coordination with state governments to develop these industrial

Another one is achieving economies of scale in manufacturing. Industrial parks & logistics parks need to grow in size to be globally competitive corridors. State governments must take the lead in identifying parcels of land for industrialisation in consonance with the national plan to reap the maximum benefits of jobs and growth. At the same time, we must ensure these initiatives towards dedicated industrial corridors keep in mind the current realities. Climate change is upon is and all projects must incorporate adaptation and mitigation strategies. Indian Railways has made substantial commitments in greening

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railways, by committing towards becoming a net-zero carbon emitter before 2030. Railway electrification has been given a big thrust and has grown by 10x since 2014. The targets set for electrification must be regularly monitored. Much has been achieved in ensuring India can transform into a manufacturing powerhouse. A continuous easing of the business environment, coupled with economic reforms will boost formality & productivity. Cleaning up of bank balance sheets will raise availability of credit. Availability of large tracts of land, can help achieve scale in manufacturing. Public investments in infrastructure will reduce the cost of logistics, through creating a seamless multi-modal infrastructure network. However, this would require synchronisation across various government levels and departments to execute. This is what the GatiShakti plan aims to achieve - synchronous decision making to create a world-class, seamless multi-modal transport network, on the back of which India will be transformed.

Solving the logistical steeplechases A multimodal transportation network will not only provide manufacturers faster access to domestic and international markets, but will have a multiplier effect on the economy too. It will ensure that infrastructure investments flowing into the country are better utilised by our economic hubs, and open the doors for new future economic zones. Thus, the eventual pay-off of a INR 100lakh crore Gati Shakti project will be inestimably large, kicking in a virtuous cycle of investments, large employment opportunities, aggregate demand, and thus economic growth. Besides, the concerted approach will also help increase India’s air freight share, which has seen a one-of-akind upswing since last year. India’s share in the international cargo business was worth INR 1,686 crore in 2019-20, which rose to INR 2,644 crore in 2020-21 (a 57 per cent increase). However, we have only touched the tip of the iceberg. A large part of our freight comprises bulk material which could be more economically served by air. Many centres such as Dubai are making use of concepts like sea-air, where cargo is initially transported by sea freight, and later by air freight. This combination is proven to have led to significant savings in transit time and costs. Thus, Gati Shakti could pave the way for a culture of multimodality, where sea, road, rail and air transport modes do not compete with each other, but rather, complement each other.

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The first steps in the direction of a vision as ambitious as this one are always challenging. Clearly, the government’s ability to take quick action exhibited by the roll out of a master plan for the project in less than two months of its announcement on August 15, underscores the seriousness of its intent to undertake reforms. It is due to these very reforms, undertaken under the stewardship of PM Modi, that India has risen to become a favoured destination for investments. The Gati Shakti vision is yet another important step that will form the basis of the PM’s vision of “Amrut Kaal”— the 25-

One of the Modi government’s main objectives in the second term has been a large infrastructure drive, which Gati Shakti continues.

year period till India celebrates 100 years of its Independence — a period that will see India return to its golden age.

Targets Under Gati Shakti One of the Modi government’s main objectives in the second term has been a large infrastructure drive, which Gati Shakti continues. By 2024-25, the plan calls for 11 industrial corridors, a defence production turnover of Rs 1.7 lakh crore, and 38 electronics manufacturing clusters and 109 pharmaceutical clusters. The national master plan establishes goals for all infrastructure ministries from 2024 to 2025. For the Road Transport and Roads Ministry, the goal is to build 2 lakh km of national highways, complete 5,590 km of four or six-lane national highways along with coastal areas, and connect all state capitals in the northeast with four-lane or two-lane national highways. Railways must handle 1,600 million tonnes of freight by 2024-25, up from 1,210 million tonnes in 2020, and decongest 51% of the network by constructing additional lines and implementing two Dedicated Freight Corridors (DFCs). By 2025, the goal is to double the present aviation footprint to 220 airports, heliports, and water aerodromes, which will need the construction of an additional 109 such facilities.

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The national master plan states that by 2024-25, overall cargo capacity handled at ports would have increased to 1,759 MMTPA, up from 1,282 MMTPA in 2020. According to the proposal, the country ’s gas pipeline network would be quadrupled to 34,500 kilometres by 2024-25 by constructing a 17,000-kilometer trunk pipeline connecting important demand and supply centres for the industry. The entire transmission network for power lines is expected to reach 4.52 lakh circuit km by 2024-25, with renewable energy capacity rising to 225 GW from 87.7 GW currently.

Expected Outcomes The plan will aid in the mapping of current and planned connection initiatives. In addition, there will be a great deal of transparency about how the country’s many regions and industrial centres are connected, particularly in terms of lastmile connection. Make in India will benefit tremendously from a comprehensive and integrated transportation connectivity plan that integrates various forms of transportation. It will assist India in becoming the world’s business capital. Concerns Related to Gati Sakti Low Credit Acceptance: Even though the government has implemented “substantial” banking sector reforms and the Insolvency and Bankruptcy Code has resulted in roughly INR 2.4 lakh crore in bad loan recovery, there are worries regarding falling credit offtake trends. Banks provide credit off-takes to assist firms to obtain finance for future projects by promising future income and demonstrating the existence of a market.

The dearth of Demand: There is a lack of private and investor demand in the postCovid-19 scenario. S t r u c t u r e d D i f f i c u l t i e s : Project execution is extremely sluggish by global standards due to land acquisition delays and legal issues. In terms of land access and environmental clearances, obtaining permissions is extremely complex; moreover, current litigation in court slows infrastructure development.

The probable end result The intent behind the initiative is straightforward. As public sector projects in India are marred by inordinate delays and cost overruns, there is a need to coordinate the planning and execution of infrastructure connectivity programmes across the country and speed up implementation in order to bring down logistics costs. This could lower

Logistical inefficiencies not only cause delays, but also add to manufacturing costs and lower the competitiveness of Indian exports

the inefficiencies in supply chains in India. A recent report by CII and Arthur D Little had estimated the logistics costs in supply chains in India at 14 per cent of GDP. In comparison, the report had pointed out that such costs amounted to only 8-10 per cent of the GDP in the US and Europe and 9 per cent in China. In the case of South Asian countries like Vietnam and Malaysia, though the cost structures are similar to those existing in India, they fare better on the World Bank’s logistics performance index. While India scores 3.18 on the index, Vietnam and Malaysia score higher at 3.27 and 3.22 respectively. Logistical inefficiencies not only cause delays, but also add to manufacturing costs and lower the competitiveness of Indian exports. Considering not only the multiplicity of approvals required from varied departments, but also the typical interministerial delays in the entire process, the need for a coordinated approach to streamline the process and minimise the bottlenecks cannot be emphasised enough. By bringing together 16 ministries to help remove the hurdles in project implementation, the Gati Shakti digital platform could provide an effective mechanism for closely monitoring the public sector infrastructure projects. This technology-led integrated approach could help align all stakeholders, ease the problems with attaining clearances, and bring about greater coordinated action across government departments. But there are concerns. For one, the effectiveness of a platform in ensuring better coordination among ministries is debatable — breaking down bureaucratic silos may prove to be harder than expected.

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BUSINESS OUTLOOK

MOSCOW EXCHANGE SUSPENDS TRADING ON ALL ITS EXCHANGES UNTIL FURTHER NOTICE

oscow Stock exchange has suspended trading on all exchanges until further notice. The announcement was made on the official website of the Moscow Stock Exchange, MOEX.com, on February 24. President Vladimir Putin authorised "a special military operation" against Ukraine on Thursday morning to eliminate what he called a serious threat, saying his aim was to demilitarise Russia's southern neighbour. As per media reports, Indian shares fell 3% as investors dumped risky assets after Russian troops fired missiles at several Ukrainian cities, prompting Kyiv to declare

a full-scale invasion, sending oil prices higher and fueling inflation fears. The bluechip NSE Nifty 50 index was down 3.02% at 16,548.20 by 0509 GMT, and the S&P BSE Sensex was 3.07% lower at 55,477.67. The report also said that both indexes were headed for their longest losing run since March 2020, extending falls to a seventh session. According to Reuters, the Russian ruble tumbled to a record low on Thursday, while the euro sank to a multi-year low to the Swiss franc after Russian forces fired missiles at several Ukrainian cities and landed troops on its south coast. The rouble weakened as much as 5.77% to an unprecedented 86.1198 per dollar.

INDIA PLANS TO SET UP RUPEE TRADE ACCOUNTS WITH RUSSIA TO SOFTEN SANCTIONS BLOW

ndia is exploring ways to set up a rupee payment mechanism for trade with Russia to soften the blow on New Delhi of Western sanctions imposed on Russia after its invasion of Ukraine, government and banking sources said. Indian officials are concerned that vital supplies of fertilizer from Russia could be disrupted as sanctions intensify, threatening India's vast farm sector. India has called for an end to violence in Ukraine but refrained from outright condemnation of Russia, with which it has long-standing political and security ties. Russia invaded Ukraine by land, air and sea on Thursday in the biggest attack on a European state since World War Two, prompting tens of thousands of people

Russia invaded Ukraine by land, air and sea on Thursday in the biggest attack on a European state since World War Two, prompting tens of thousands of people to flee their homes.

to flee their homes. Russian forces pressed their advance on Friday and Ukrainian President Volodymyr Zelenskiy pleaded with the international community to do more, saying sanctions announced so far were not enough. Officials said the plan was to get Russian banks and companies to open accounts with a few state-run banks in India for trade settlement, a banking source involved in the discussions said. "This is a proactive move assuming that the conflict escalates and there could be a slew of sanctions in place," the source said. "In this case we would not be able to settle the transaction in dollars and so an arrangement has been proposed to set up a rupee account, which is being considered." Funds in such accounts act as a guarantee of payment for trade exchanged between two countries, while the parties barter commodities from each other to offset the sum, the source said. A similar arrangement, in which part of the settlement with Russia is in foreign currency and rest is through local rupee accounts, was also being explored, said the banking and the government source. Such mechanisms are often used by countries to shield themselves from the blow of sanctions and India also used it with Iran after it came under Western sanctions for its nuclear weapons programme, the source said. The programme was introduced in 2012 and worked well for several years. The discussions on Russia were still at an early stage and formal talks had not yet begun between the two sides, an Indian government official said.

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BUSINESS OUTLOOK

KEY US INFLATION GAUGE HIT 6.1% IN JAN, HIGHEST JUMP SINCE 1982

n inflation gauge that is closely monitored by the Federal Reserve jumped 6.1% in January compared with a year ago, the latest evidence that Americans are enduring sharp price increases that will likely worsen after Russia's invasion of Ukraine. The figure

reported Friday by the Commerce Department was the largest year-overyear rise since 1982. Excluding volatile food and energy prices, core inflation increased 5.2% in January from a year earlier. Robust consumer spending has combined with widespread product and

worker shortages to create the highest inflation in four decades - a heavy burden for U.S. households, especially lowerincome families faced with elevated costs for food, fuel and rent. At the same time, consumers as a whole largely shrugged off the higher prices last month and boosted their spending 2.1% from December to January, Friday's report said, an encouraging sign for the economy and the job market. That was a sharp improvement from December, when spending fell. Americans across the income scale have been receiving pay raises and have amassed more savings than they had before the pandemic struck two years ago. That expanded pool of savings provides fuel for future spending.

EU AGREES TO FREEZE ASSETS OF PUTIN, LAVROV AMID UKRAINE CRISIS

he European Union is planning a third round of sanctions against Moscow, an EU official said on Friday, minutes after Ukraine's president pleaded with the bloc for faster and more forceful steps to punish Russia for its invasion of his country. The official said that ambassadors of the EU's 27 member states agreed even before the next wave of sanctions are approved - on Friday to freeze the European assets of Russian President Vladimir Putin and Foreign Minister Sergey Lavrov. "We are moving as quickly as we can," said the official, who spoke on condition of anonymity, adding that the bloc could also target "many more" Russian oligarchs than it has already. Earlier on Friday, Ukrainian President Volodymyr Zelenskiy urged Europe to act more quickly and forcefully in imposing sanctions on Moscow, accusing western allies of politicking as Moscow's forces advanced on Kyiv. "You still can stop this aggression. You have to act swiftly," he said, adding that banning Russians from entering the EU, cutting Moscow off from the SWIFT

global interbank payments system and an oil embargo should all be on the table. EU foreign ministers will meet in Brussels from 1400 GMT to thrash out details of a package of sanctions - the EU's second this week - that was agreed in principle by their leaders at an emergency summit that ran into the early hours of Friday. The leaders' agreement meant the bloc is joining the United States and others in taking steps such as curbing Russia's access to key technologies and financing. The sanctions will also target Russian elites and make it tougher for diplomats to travel, but the EU leaders opted not to curb Russian energy imports, or - after objections from Germany and Italy, among others - cut Russia off from SWIFT. A decision to sanction Putin and Lavrov personally came on Friday.

French Finance Minister Bruno Le Maire, hosting a meeting of EU counterparts in Paris on Friday to discuss the economic consequences, said removing Russia from SWIFT transactions remained an option, but only as a last resort. Read full story The Dutch and Luxembourg prime ministers, Mark Rutte and Xavier Bettel, said the measures agreed at the summit were very substantial, hitting Russia hard in many sectors. Putin had done everything he could to divide Europe, Rutte said, but he had only managed the opposite. Bettel said the most emotional moment of the EU summit was when Zelenskiy addressed the room remotely from Ukraine. "He told us he doesn't know whether he will be able to speak with us another time so it's tough. We have to know how serious the situation is in Ukraine," he said.

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ASIAN SHARES TRACK WALL STREET RALLY; MARKETS EYE LONG-TERM UKRAINE RISK

sian shares regained ground, following Wall Street's overnight lead as U.S. President Joe Biden hit back at Russia with harsh sanctions after it unleashed troops, tanks and missiles on Ukraine. MSCI's broadest index of AsiaPacific shares outside Japan rose 0.68%, while Japan's Nikkei was trading up 1.53% and Hong Kong's Hang Seng index added 0.16%. Australian shares added 0.3%, driven by a rebound in tech stocks. Investors rediscovered their risk appetite overnight after some initial sharp losses, with major U.S. indices posting gains on Wall Street on Thursday, lead by tech stocks. However, U.S. share futures slipped in early Asian trade, with S&P500 e-mini futures losing 0.61% and Nasdaq futures down 0.92%. Analysts worry any rallies might be fleeting. "Biden's sanctions and reluctance to pour troops in is providing some relief. But this conflict is going to be a protracted issue and add to global inflationary pressures that will keep central banks on track for tightening," said Kyle Rodda, analyst at IG Markets in Melbourne. "It's okay for now, but in the long-term the market will be tracking to the downside," he said. Oil prices, which jumped when the Russian invasion began before falling back, rose again on Friday on worries about supply disruptions. Brent crude futures were up 2% at $101.20 a barrel, while U.S. West Texas Intermediate (WTI) crude also rose to $94.46, although both benchmarks were off their highs. Spot gold, however, fell 0.4% to $1,910.96 per ounce, having earlier touched its highest level since September 2020 at $1,973.96 as investors sought safe haven.

The yield on 10-year U.S. Treasuries was at 1.95% after an initial slide to 1.84%, its biggest daily drop since late November. The U.S. dollar index, which measures the greenback against a basket of major currencies, eased 0.12% to 96.98, having risen on recently to levels last seen during the first wave of the coronavirus pandemic. The Russian rouble was at 83.43 against the dollar, clawing back from a record low of 89.986. Ukrainian President Volodymyr Zelenskyy said new iron curtain was descending over Europe. Ukrainian soldiers battled Russian troops as they poured in from three sides while about 100,000

GLOBAL CHIP SHORTAGE: JAGUAR LAND ROVER LOSES £9M

he UK car maker saw its retail sales fall 37.6% compared to a year earlier, as it sold 80,126 vehicles in the quarter to the end of December. Despite that fall in production the company saw revenue of £4.7bn, up 22% on the previous quarter. Manufacturers around the world have been hit hard as they struggle to secure supplies of semiconductors. "Whilst semiconductor supplies have continued to constrain sales this quarter, we continue to see very strong demand for our products underlining the desirability of our vehicles," JLR's

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people fled their homes, according to the United Nations, many hunkering down in basements and subway stations to escape shelling. Ukrainian authorities said 137 people had been killed on the first day of fighting. Western nations redoubled their efforts to crimp Russia's ability to do business, freezing bank assets and cutting off stateowned enterprises. But they stopped short of disconnecting Russia from the SWIFT international banking system or targeting oil and gas, which some analysts said had helped markets to recover.

BUSINESS OUTLOOK

TESLA EXPECTS 50% GROWTH DESPITE SUPPLY CHAIN WOES

he electric carmaker reported a record $5.5bn (£4bn) profit last year. Sales at the firm rocketed 71% to $53.8bn in 2021, as it delivered more than 936,000 vehicles to customers. But the firm warned growth would slow, as supply chain issues affecting carmakers continue to limit its manufacturing capacity. Mr Musk said that 2021 was "a breakthrough year for Tesla, and for electric vehicles in general". "While we battled, and everyone did, with supply chain challenges through the year, we managed to grow our volumes by nearly 90% last year," he said. The company said its supply chain was "the main limiting factor" to growth, "which is likely to continue through 2022". He said he expected growth "comfortably above 50%" in 2022. Carmakers around the world are grappling with a shortage of microchips, among other production and supply chain snarls, though Tesla had been seen as faring better than most. It uses chips that are less scarce and quickly re-writes software, while competitors slow production. The firm, which started in California, now has factories in China and Texas, with another under construction in Berlin. The plants are expected to help Tesla dramatically expand its production, even as it faces new competition from established carmakers turning their attention to electric

JLR also said that its order book has hit a new record high of around 155,000 vehicles, due to strong demand for the new Range Rover.

The company said its supply chain was "the main limiting factor" to growth, "which is likely to continue through 2022". He said he expected growth "comfortably above 50%" in 2022.

chief executive Thierry Bolloré said in a statement. However, the company also warned that it expects the chip shortage to continue throughout this year but expect supplies to gradually improve. That helped push JLR's Indian parent company Tata Motors to a 15.16bn rupees (£150m; $203.2m) loss for the period. JLR also said that its order book has hit a new record high of around 155,000 vehicles, due to strong demand for the new Range Rover. Chips are vital to modern cars, with a number of features including touchscreen controls, automatic emergency brakes, reversing cameras, fuel efficiency equipment and airbag deployment systems all relying

vehicles. It has the challenge of opening two factories this year with chips and other parts in short supply and new batteries and technologies to be introduced. But Mr Musk said the firm was looking at building new factories in new locations in the future. Looking ahead, Mr Musk said he expected fully self-driving cars "will become the most important source of profitability for Tesla". "The cars in the fleet essentially becoming self-driving via a software update might end up being the biggest increase in asset value of any asset class in history, we shall see," Mr Musk added. He has downplayed concerns that other firms might pose a threat, noting on Twitter that companies like GM have "some room for improvement". Dan Ives, analyst at Wedbush Securities, said he thought Tesla would have been able to deliver 10% to 20% more cars in the last three months of the year without the supply issues.

on them. The Society of Motor Manufacturers and Traders said that just under 860,000 new cars left UK factories in 2021. Production last year was 6.7% lower than in 2020 - and a full 34% below its pre-pandemic level. The SMMT said the figures were dismal, largely thanks to a global microchip shortage and disruption caused by the coronavirus pandemic. Car makers around the world have also been impacted by the chip shortage, along with supply chain disruptions, Covid-19 restrictions and rising prices of raw materials. Motor industry giants including Toyota, General Motors, Ford, Nissan, Daimler, BMW and Renault, have all been forced to scale back production in recent months as they struggled to secure enough semiconductors.

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BUSINESS OUTLOOK

CAR PRODUCTION FALLS TO LOWEST LEVEL FOR 65 YEARS

he SMMT said the figures were dismal, largely thanks to a global microchip shortage and disruption caused by the coronavirus pandemic. It said there was optimism for the future, with the announcement of new investment worth nearly £5bn. But it warned high energy costs could be a challenge for carmakers this year. Hopes that car production would recover in 2021 were firmly dashed. According to the SMMT's figures, just under 860,000 new cars left UK factories last year. That was even fewer than in 2020, when the first wave of Covid and the associated lockdowns forced several factories to close. Production last year was 6.7% lower than in 2020 - and a full 34% below its pre-pandemic level. The main reason for the decline, the SMMT said, was a severe shortage of semiconductors, or computer chips. A modern car has complex electronics and can use between 1,500 and 3,000 chips to operate items such as engine management systems, emissions controls, safety devices and navigation systems. But there were other factors affecting production too. These included widespread staff absences as workers were forced to go into isolation, and the impact of the closure

of Honda's factory in Swindon. The SMMT's chief executive Mike Hawes admitted it had been "a dismal year, there's no hiding it". But he suggested that "despite this miserable year there is optimism", largely because of the announcement of £4.9bn in planned new investments, many of them in electric vehicles or technology. These, he said, had been triggered by the signing of a Brexit deal with the EU, which had provided "a real shot in the arm", following five years of declining investment. But he added the UK was "still playing catch-

GENERAL MOTORS 90-YEAR REIGN AS TOP US CAR SELLER ENDS

apan's Toyota claimed the top spot, selling more than 2.3 million vehicles last year, up 10%. GM said its sales, which fell 13%, were hurt by the widespread shortage of semiconductor parts that has been affecting the car industry. The Detroit company had ranked as the number one US car seller since 1931 and vowed it would bounce back. "I wouldn't rush out if I were

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(Toyota) and get a 'We're No 1' tattoo," spokesman Jim Cain said, according to media reports. Overall, analysts expect the number of new cars sold in the US to have increased roughly 2% in 2021 compared to 2020, when buyers were reeling from the onset of the coronavirus pandemic. But purchases remain depressed compared to their pre-pandemic levels, as companies

up" after a long period of Brexit-related uncertainty. "The industry did everything i t co u l d t o b e p r ep a r ed [ for new post-Brexit trading arrangements], and largely that has been relatively smooth," he told the BBC's Today programme. "It has incurred additional costs though, because whilst we were able to benefit from the deal we have with the EU, which avoids tariffs, it doesn't avoid other tariff barriers and additional administration which has required additional people and additional costs to everyone, whether you're exporting or importing."

grapple with supply chain woes, problems that have also pushed prices higher for consumers. "The key constraint for sales continues to be reduced inventory levels as a result of the semiconductor shortage," GM chief economist Elaine Buckberg said in a statement discussing the firm's sales and outlook for 2022. GM sold roughly 2.2 million vehicles last year down from 2.5 million in 2020, relying on its profitable pick-up trucks and SUVs to boost its bottom line. Toyota, which saw strong sales of its hybrids and other models, has been less affected than some other car makers by the shortage of chips, thanks to its decision to build up a stockpile after the 2011 earthquake and tsunami. But it has also been forced to cut production amid the shortages. But America's top car companies have been ceding ground to international rivals well before the pandemic-related snarls. Ford, General Motors and Chrysler once accounted for as much as 90% of all US car sales and still claimed more than half as recently as 2008. But that has slid lower. Toyota's Camry has been the top-selling passenger car in the US for 20 years, while its Rav4 has ranked as the best-selling SUV for five years.

BUSINESS OUTLOOK

FRANCE AND CHINA LINK UP IN GLOBAL INFRASTRUCTURE PROJECTS

aris and Beijing plan to jointly build seven infrastructure projects worth over $1.7 billion ($1.9 billion) in Africa, Southeast Asia and Eastern Europe, making France the first country to establish the third-party market intergovernmental cooperation mechanism with China. Proponents hope that it will make Chinese foreign investments more transparent, while skeptics suggest that it may simply provide an optical boost for Beijing in the face of growing conflict with the United States. Following the recent virtual meeting between French President Emmanuel Macron and his Chinese counterpart, Xi Jinping, the two countries signed the Fourth Round China-France Third-Party Market Cooperation Pilot Project List in mid-February. The list includes projects in infrastructure, environmental protection and new energy, China's Foreign Ministry spokesperson, Wang Wenbin, said in a statement. China's senior planning body, the National Development and Reform Commission (NDRC), said in a press release that "French enterprises have a unique advantage in advanced manufacturing, environmental protection and engineering construction, while Chinese firms have accumulated rich experience in basic infrastructure construction, energy, equipment building and the internet. Enterprises from both countries are complementary, and have a huge potential for third-party market cooperation."

"I think this sounds very interesting. France could be onto something," said Martin Jacques, a British journalist, academic and China watcher. But is it anything new? "Paris and Beijing have been discussing cooperation on development projects in third countries for years. In a way, this is a way for Paris not to leave China acting alone in Africa," Marc Julienne, the head of China Research at the Center for Asian Studies of the French Institute of International Relations (IFRI), told DW. "France shares an alliance with Washington, whereas its China policy is articulated on two legs: one of dialogue and cooperation where it is possible, and one of systemic rivalry and opposition

where it has to be," Julienne said. "As the world's second-largest economy, with a large presence in many Francophone areas, it is natural that China and France should seek some sort of cooperation on infrastructure issues," said Eric K. Hontz, from the Center for International Private Enterprise. "I do not think this marks a dramatic shift in the relationship between France and the US, but is a way for France to continue to remain engaged and put itself, and its industry, forward into these markets. I think the Macron government is trying to navigate very tricky waters through dialogue and engagement," he added.

GRAHAM TO INSTALL NEW BUSWAY BRIDGE AT BELFAST TRANSPORT HUB

onstruction firm Graham has secured a contract to deliver new Busway Bridge for the Belfast Transport Hub in Northern Ireland (NI). Under the contract, Graham will be responsible for the installation of new weathered steel bridge. Graham contracts director Andrew Henry said: “We’re pleased to have been awarded this additional package of works on the Belfast Transport Hub scheme, which will facilitate the wider construction of the Hub. “We have an excellent existing relationship with our client Translink, having successfully collaborated on several high-profile schemes including a new train

maintenance facility at Adelaide Depot and the new Portrush Train Station, which have both brought major benefits to the areas they serve. “As experts in the field of civil engineering our teams will be on hand to deliver the new busway bridge safely and efficiently and to support the completion of the new train and bus deport by the main works contractor.” Belfast Transport Hub is a NI Executive Flagship project, which aims to transform an 8ha site into an integrated transport hub to improve local and international connectivity of bus, coach and rail links across NI and beyond. The project will alter the existing Translink Busway route

that runs into the Europa BusCentre. Additionally, the integrated project aims to encourage people to use public transport, thereby reducing road traffic congestion as well as air pollution in the region. The new project is being developed at a new city neighbourhood called ‘Weavers Cross’ and is expected to bring in socio-economic as well as environmental benefits for Belfast and Northern Ireland. Belfast Transport Hub programme manager Lisa McFadden said: “We are looking forward to working with Graham on the construction of the Busway Bridge, an integral part of the exciting new Belfast Transport Hub Project.”

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BUSINESS OUTLOOK

TATA MOTORS’ JLR, NVIDIA TEAM UP TO DELIVER

AUTOMATED DRIVING SYSTEMS

TATA MOTORS STOCK RISES 3 PER CENT ON JLR-NVIDIA DEAL,

JP MORGAN'S BULLISH STANCE

tock of Tata Motors gained nearly 3 per cent in early trade today after the auto major's UK arm Jaguar Land Rover announced a partnership with NVIDIA for all new vehicle platforms slated for production beginning in 2025. US investment bank JP Morgan initiating coverage on the Indian auto firm also led to positive sentiment around the stock.

ata Motors subsidiary Jaguar Land Rover (JLR) has announced a multi-year strategic partnership with artificial intelligence (AI) and computing company NVIDIA to develop and deliver next-generation automated driving systems coupled with AI-enabled services and experiences for customers. Beginning 2025, new JLR vehicles will be built on NVIDIA’s DRIVE software-define platform which will deliver active safety, automated driving and parking systems and driver assistance systems. On the inside, the system will offer AI features like driver and occupant monitoring and advanced visualization of the vehicle’s environment, as per an official Tata Motors release. NVIDIA’s full-stack solution for JLR cars is based on the former’s DRIVE Hyperion platform that comprises DRIVE Orin centralized AV computers, DRIVE AV and DRIVE IX software. DRIVE Orin is the AI brain of the car and runs the JLR operating system whereas DRIVE Hyperion is the central nervous system. Besides this, it also offers safety, security and networking sensors and surround sensors. JLR will also utilise in-house developed data centre solutions with NVIDIA DGX for training AI models and DRIVE Sim software built on the NVIDIA Omniverse to ensure real-time and physically accurate simulation. “Jaguar Land Rover’s software-defined features and its end-to-end verification and validation architecture will enable the delivery of innovative assisted and automated driving services throughout the life of the vehicle via over-the-air software updates,” the release underscored. According to JLR CEO Thierry Bolloré, this partnership with NVIDIA is essential to realising the company’s Reimagine strategy and setting new benchmarks in quality, technology and sustainability. He further said that the JLR-NVIDIA partnership “will unlock a world of potential for our future vehicles as the business continues its transformation into a truly global, digital powerhouse.” Founder and CEO of NVIDIA Jensen Huang said, “Next-generation cars will transform automotive into one of the largest and most advanced technology industries. Fleets of software-defined, programmable cars will offer new functionalities and services for the life of the vehicles. We are thrilled to partner with Jaguar Land Rover to reimagine the future of transportation and create the most advanced cars.”

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The large cap stock touched an intraday high of INR 511.4, rising 2.65 per cent on BSE. Tata Motors stock touched an intraday high of INR 511.4, rising 2.65 per cent on BSE. Tata Motors shares are trading higher than 5 day, 20 day, 50 day, 100 day and 200 day moving averages. Tata Motors stock has gained 53.31 per cent in one year and risen 5 per cent since the beginning of this year. Market cap of the firm rose to INR 1.67 lakh crore on BSE. Total 2.99 lakh shares changed hands amounting to a turnover of INR 15.39 crore. "Jaguar Land Rover has formed a multi-year strategic partnership with NVIDIA, the leader in artificial intelligence (AI) and computing, to jointly develop and deliver next-generation automated driving systems plus AI-enabled services and experiences for its customers. Starting in 2025, all new Jaguar and Land Rover vehicles will be built on the NVIDIA DRIVE software-defined platformdelivering a wide spectrum of active safety, automated driving and parking systems as well as driver assistance systems. Inside the vehicle, the system will deliver AI features, including driver and occupant monitoring as well as advanced visualisation of the vehicle's environment," said Tata Motors. Meanwhile, JP Morgan has initiated coverage on the Indian auto firm and assigned overweight stance with a target price of INR 630. The investment bank said there is a potential bull case fair value of INR 783 (57 per cent upside) backed by electric vehicles leadership in Indian PVs and meeting medium-term targets at JLR. The company demonstrated commitment to deleveraging of balance sheet and structural strengthening of its business- JLR & India- since 2019, JP Morgan said. The investment bank also believes that the firm can achieve its zero net debt target by FY 24.

BUSINESS OUTLOOK

VIVO PLANS TO START SMARTPHONE EXPORTS FROM INDIA,

TO INVEST INR 3,500 CR BY 2023

SERUM INSTITUTE MAKES VACCINES AVAILABLE AT PRICE OF ‘A CUP OF TEA’:

CYRUS POONAWALLA

erum Institute of India chairman and Padma Bhushan awardee Cyrus Poonawalla said that poorer nations are using the vaccines made by his company as the doses have been made available at the cost of a cup of tea. He said that two-thirds of the world population has been protected by one or more of SII’s vaccines.

Poonawalla was speaking at the Maratha Chamber of Commerce, Industries and Agriculture’s (MCCIA) Pune International Business Summit. Here, Poonawalla was felicitated for receiving the Padma Bhushan Award. “Most of our vaccines have been used by poorer nations. UNICEF and other philanthropic organisations came forward to buy vaccine which I provided along with the help of my staff and scientists to make it affordable at a price of a cup of tea and this has made the world self-sufficient for most of the communicable vaccines required to protect children and adults,” he said.

hinese smartphone maker Vivo is planning to boost its manufacturing facility in India and start exporting devices from the country in 2022. The smartphone maker is planning to invest INR 3,500 crore in two years for the same, according to a senior official of the company. Director of Business Strategy at Vivo India Paigam Danish told news agency PTI that the investment is part of the Rs 7,500 crore commitment that the company has made for the Indian market. Vivo has already invested INR 1,900 crore from total till 2021. Danish explained, “We have already invested INR 1,900 crore till 2021. We will invest INR 3,500 crore by 2023, and then in our next phase, we are committed to investing INR 7,500 crore. These are investments in manufacturing only.” He further said that the company meets all the local demands for mobile phones from its plants in Greater Noida and is now eyeing exporting handsets from India.

Poonawalla further explained that 90 per cent of COVID-19 vaccines required by India are manufactured on the principle of low cost, high value and maximum production. The pharma veteran further mentioned that 170 countries globally are using SII’s vaccines as the Pune-based vaccine maker was able to manufacture vaccines at an affordable cost with 100 percent quality. “Experts from all over the world have estimated that around 30 million children’s lives were saved because we had provided the affordable vaccines,” he said. Towards the end of his address, Poonawalla said that he prayed to the Almighty to give his son Adar Poonawalla and his staff with the required strength to continue manufacturing vaccines at affordable prices.

Danish stated that they are planning to start exports from India to other countries in 2022. He also said that Vivo has crossed 10 crore consumers in the Indian market. Vivo has also set a target to double the smartphone production capacity in India to 12 crore annually from 6 crore at present and take the employee base to 40,000 after investing the amount of INR 7,500 crore. The company will hire 5,000 additional people by 2023 for our manufacturing unit. Vivo India has 10,000 employees at its manufacturing unit at present. In a bid to enhance its manufacturing capacity, the company has acquired another 169 acres of land in Greater Noida and is also enhancing local procurement. According to Danish, “We are developing the entire ecosystem, which means focusing on local procurement. 95 percent of batteries are being sourced locally and 60 per cent of chargers.” He further underscored that the company plans to increase local sourcing of chargers to 75 per cent by 2024 and 65 per cent of display by 2023, thus providing more employment opportunities in the Indian market.

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BUSINESS OUTLOOK

VISTARA CEO SAYS AIRLINE FELL SHORT OF MEETING

CUSTOMER EXPECTATIONS

fter receiving some flak in recent months over deteriorating services, the Vistara CEO on Wednesday wrote a heartfelt note to the customers saying, "we hear you". In his note, CEO Vinod Kannan admitted the airline hadn't lived up to the customers' expectations in the last few months. "Knowing that you have been inconvenienced and disappointed with our services has been heartbreaking for the entire Vistara family and me," the note read. "I know how our recent flight disruptions must have altered your plans and how frustrating it's for you to hold the phone line for a long time to speak to our customer service representatives or when your choice of meal or beverages was not served on some occasions," the CEO said in the note.

The airline CEO wrote that he owed an explanation as to why Vistara had been found wanting on various fronts.

POLICYBAZAAR LAUNCHES AI-ENABLED WHATSAPP BOT FOR SMOOTH CLAIM SETTLEMENT IN

GROUP HEALTH INSURANCE

The airline CEO wrote that he owed an explanation as to why Vistara had been found wanting on various fronts. "The varying restrictions that we have had to navigate and the constant safety concerns due to these unusual times had brought us some unique challenges in these past months, forcing us to curtail many aspects of our services, temporarily," he said. Kannan explained, "The new year brought along a sharp decline in demand right after a brief but very optimistic period.

While we had resumed recruitment and ramp-up of resources on various fronts, buoyed by optimism in late 2021, the requirements around training and occupancy meant that we were not able to scale up as desired. This, coupled with a scale back incapacity, necessitated by a precipitous decline in demand, implied that the volume of enquiries and requests increased manifold." The airline has promised that it is now working on a "war footing" to correct mistakes, which include improving the experience of customers as they try to connect with the airline's helpdesk either over the phone or online.

AIR INDIA WILL BE MADE WORLD-CLASS,

CHANDRASEKARAN TELLS EMPLOYEES

he Tata group plans to expand Air India’s network, modernize its fleet, spruce up its customer service and make it the world’s most technologically advanced airline, group chairman N. Chandrasekaran said. In his first address to Air India staff on Wednesday, Chandrasekaran said Tata group, which acquired the state-run Air India last month, has very big dreams for the airline. “We are totally committed to making Air India the world-class airline it deserves to be," Chandrasekaran said in his virtual address. “We will do that by focusing on specific areas where we want to be absolutely best in class," he added. Chandrasekaran said the areas of focus would be customer service, technological advancements (website, application, front- and back-office systems, etc.), upgrading fleet to expand network both on the domestic and international front and to ensure the world’s best hospitality service. “If all of us can bring in the passion and work in a coordinated

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BUSINESS OUTLOOK

olicybazaar, one of India’s largest online marketplace for insurance, has launched its AI-enabled WhatsApp chatbot to automate and expedite the claim settlement process for all its corporate clients. The feature is designed to provide seamless assistance with claims of intimation and settlement via WhatsApp to all the employees and their families covered under the plan. By opting in for this service, the user can chat with the claims support bot on WhatsApp, choose the relevant option and provide details of hospitalisation and expenses. Customers will be informed about the documents to be uploaded which can be sent via WhatsApp itself. User can then track their claim status after the ID is generated. Since the launch, over 15,000 users have already utilized the services for enrolling their dependents and availing of claims assistance. The feature provides ease of documentation through online image upload, claims filing on the go, and 24/7 online claims tracking among other benefits.

This is integrated with APIs from insurers and TPAs which eliminates the need for human intervention for accepting claims information and claim documents. Employers are going the extra mile during the pandemic to ensure employees’ wellness and we are here to help them strengthen their efforts in this endeavour.” Since the launch, the app-based claims process has already brought about a 40 per cent reduction in queries regarding claims status, e-cards and other claim filing issues. Also, there’s been a 10 per cent increase in the number of claims submitted digitally. To iron out Revolutionising the claims process with its virtual the frictions edge, the bot has eliminated the hassles associated during the with heaps of physical paperwork.

crucial moment of truth, we have launched an automated communications platform.

Talking about the newly-launched feature, Tarun Mathur, Chief Business Officer – General Insurance at Policybazaar, said, “Conventionally, consumers have had to follow up over phone calls or emails regarding claims with insurers. This is not only cumbersome but also leads to unpredictable wait time, which is even more complicated in a remote work setup. To iron out the frictions during the crucial moment of truth, we have launched an automated communications platform.

Leveraging digital innovation, this feature has been designed to solve the most prevalent pain point in the customer’s insurance journey. By facilitating an end-to-end claims journey for consumers via WhatsApp bot, the aim is to provide a 360-degree health insurance experience to the consumers.

After the COVID-19 outbreak, health issues have significantly proliferated and so have the number of claims. With the accelerated uptake of digital solutions, employers can now ensure employee wellness better. Policybazaar.com is one of India’s largest insurance marketplaces. It is the flagship platform of PB Fintech Ltd. Policybazaar.com started with a purpose to educate people on insurance products and with its offerings has addressed the large and highly underpenetrated online insurance markets.

“Tata group is known for trust, quality, reliability and consistency. In the context of Air India, we must start with ensuring we are on time, every time," Chandrasekaran said. “If we can complement that with a terrific experience—in terms of seamless booking, airport experience, boarding experience, lounge experience—we will automatically end up providing the customer service they want to experience," he added. Tata group this week appointed Ilker Ayci, the former chairman of Turkish Airlines, as Air India’s new chief executive officer and managing director, marking a key step in efforts to overhaul the loss-making airline. Air India is now one of four airline brands under the Tata group umbrella. The Mumbai-based conglomerate holds majority stakes in AirAsia India and Vistara, a joint venture with Singapore Airlines Ltd, apart from Air India Express.

fashion with a single-minded purpose, where we contribute the best of what we have every day, this is achievable, and in a shorter time frame," he said. “This will require huge transformation, probably the largest transformation, change, all of you would ever go through," he added.

Tata group has rolled out a 100-day plan for Air India to improve the airline’s operational and service standards. The conglomerate hopes to improve Air India’s basic service standards, on-time performance, issues related to passenger complaints and customer call centres in the coming months. “We want to ensure every Indian is able to fly directly to as many destinations as possible," Chandrasekaran said.

At present, Air India has about 141 aircraft. However, many of them are old and unfit to profitably serve many of its routes. Air India’s overall customer service, under government ownership, often trailed that of other private airlines, and its on-time performance was abysmal compared to IndiGo and others.

“We will look at it from an international long-haul point of view, short-haul international point of view, and also domestically... We will expand our network. That will provide ample opportunities for growth," he said, adding that the airline will achieve its targets with strong financial discipline.

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FINANCE

DURING A CRISIS, BREAK THESE

PERSONAL FINANCE RULES

inancial well-being, in addition to mental and bodily well-being, is now widely recognised as critical to a secure future. It's all too easy to get caught up in the glamour and glam of the world and spend as much as you want, whenever you want. While all of this is fine, the crucial parts of saving and investing often take a backseat under such circumstances. We typically adopt precise personal finance rules to develop a budget, track income and spending and make money management easier and more efficient to guarantee solid financial health. We commonly hear our parents and other elders, as well as financial advisors, tell children and us to begin saving and budgeting as soon as possible. One of the most significant abilities you may have is the ability to manage your money effectively. It is both an art and a talent that should be imparted in a person from the start since it is essential for their physical, emotional, and financial well-being. In the event of an exceptional catastrophe, however, the situation may

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One of the most significant abilities you may have is the ability to manage your money effectively. It is both an art and a talent that should be imparted in a person from the start since it is essential for their physical, emotional, and financial wellbeing.

force us to deviate from our financial plan. It's critical to know what personal financial regulations we can breach at this point. A personal financial crisis can result from a variety of factors, including a job loss, divorce, bankruptcy, a medical emergency, or any event in which your financial stability is threatened. Whatever the source, the effects are frequently the same: emotional tension, perplexity, a sense of loss of control, and a loss of confidence. While going through a financial crisis might be difficult, remember that you can achieve financial stability. You may improve your position by recovering your composure and taking action.Let's have a look at what we've got.

Taking money from your emergency savings or safe When your finances are strained, the obvious solution is to tap into your emergency reserves; therefore it's critical to start saving straight away. Remember that life is fundamentally

FINANCE

take on more debt. To prevent slipping into a debt trap, it's critical to study all aspects of a loan and stay away from ordinary moneylenders. While most of us have EMIs or other interest to pay, it's advisable to put off paying these payments for a few days or weeks if you're in a financial emergency. However, you must be on time with your payments before deferring them during the crisis. This will boost your creditworthiness and trustworthiness, and your lender may be more willing to tolerate a minor delay as a result.

Savings for long-term requirements such as a house or a car vs. urgent crisis needs The necessity to have extra cash on hand is one of the lessons we've learned from the epidemic. Relying on people for financial assistance during a crisis can have a long-term negative influence on your money and your relationship with that person. As a result, it's necessary to invest in instruments with high liquidity so that, in the case of a financial emergency, you may quickly sell your investment and collect the cash. Rather than investing in long-term needs like a home or a vehicle, you may invest in mediums or commodities that can be swiftly sold when needed.

Investing in high-risk assets like stocks, cryptos, etc. Several variables influence investment decisions. There is no such thing as a one-size-fits-all solution when it comes to investing. So sit down and examine your complete financial status before investing in assets like stocks and cryptos during a crisis. It's vital to maintain a watch on the market for low-cost possibilities to purchase highquality assets. Not disclosing all of your financial information to intimate friends, family members, and others Investing and money management are both personal decisions. And, while we normally keep our closest confidantes up to date on our finances, it's quite fine not to do so in the event of a catastrophe. Although the purpose of investing and insurance is to help your family and safeguard their future, emergencies frequently necessitate severe actions due to the difficult nature of the situation. unpredictable, and emergencies frequently arise without warning, necessitating a quick response. As a result, putting money away for unanticipated emergencies or disasters is a wise idea. This ensures that you will continue to receive a portion of the money until they are ready to be used. The emergency fund should only be utilised to

deal with unanticipated occurrences since it will come in helpful when you need it the most.

Deferring EMI payments for a few days/weeks unless you are certain in your ability to repay If you want to live a stress-free life, never

Bottom-line A catastrophe may throw our lives into disarray and upset our goals, so having a plan B is always a good idea. If you're facing an unforeseen financial crisis, the aforementioned advice can help you get through it.

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FINANCE

INVESTING IN 2022 WHAT YOUR PORTFOLIO MUST HAVE

arkets had a banner year in 2021. The bourses reached new highs, increasing the wealth of investors. However, just as the year was coming to a close, investors were alarmed by a new form of the novel coronavirus known as Omicron, and markets saw a severe downturn.

The Sensex and the Nifty both fell, alarming investors. In 2022, things have gotten off to a shaky start. Having these features in your portfolio, on the other hand, can help you navigate through difficult times with ease while preserving your longterm profits.

1. Allocation of Assets Asset allocation, an evergreen method, rescued many people from a rocky fall in March 2020, when markets plummeted. Even this year, you must adhere to asset allocation guidelines and ensure that you diversify appropriately in accordance with your goals and risk tolerance. Prudent asset allocation can help you navigate rough waters with ease, balance your portfolio, and protect your profits.

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Aspects You Need to Consider for Asset Allocation Financial Objectives A holistic perspective of your financial objectives can assist you in determining the returns you want your portfolio to earn overtime. Short-term, mediumterm, and long-term goals should all be divided into three categories. Building an emergency fund or taking a vacation are examples of short-term objectives; putting a down payment on a house or purchasing the dream automobile are examples of medium-term ambitions. Higher education and retirement, on the other hand, are long-term ambitions for your child. You may invest in debt instruments for short-term aims and aggressive hybrid funds that invest in a combination of equity and debt for medium-term ambitions. To achieve longterm goals, it's best to invest in pure stocks, which will outperform inflation.

Appetite for Risk It's yet another important factor to consider

FINANCE

Emergencies sometimes strike without warning, and they may quickly disrupt your financial plans. The necessity of having an emergency fund has been demonstrated by Covid-19, and you must create one via disciplined saves and investing. to your portfolio can help you profit from market ups and downs. BAFs use a dynamic asset allocation method, in which the fund management alternates between stocks and debt depending on market conditions. When values are high, the stock portion of the portfolio is often lowered to safeguard profits, and vice versa. when it comes to asset allocation. The capacity to tolerate hazards is referred to as risk appetite. Investing in high-risk products makes little sense if you have a low-risk tolerance. If you have a high-risk appetite, on the other hand, you can better tolerate volatility. Invest in financial options that are compatible with your risk appetite.

Horizontal Investment The term "investment horizon" refers to the amount of time you must keep your money invested in order to achieve your objectives. For short-term goals, the investment time might be anything from six months to a year, while medium-term goals can last up to five years. The time horizon, on the other hand, maybe 15 to 20 years or even longer. Depending on your investing horizon, divide your money among different assets. If you're considering investing in equities, be sure you're in it for the long haul, as they're a very volatile asset class in the near term.

2. Balanced Advantage Fund (BAF) Adding a balanced advantage fund, or BAF,

When you add BAFs to your portfolio, you increase your wealth during a market advance while also protecting the corpus from large losses when markets perform poorly. BAFs, on the other hand, have an additional major advantage. Investing is no longer influenced by emotions. During bull and down markets, investors are more likely to behave badly. During a bull market, they tend to be more daring and overestimate their risk appetite. Most people end up investing at the top of their game as a result of this procedure. When markets go down, on the other hand, many people take the exit option and turn their theoretical losses into real losses. When markets collapsed and then rallied back in a previous couple of years, these characteristics came to the fore. BAFs, on the other hand, assist to remove emotions from investing through its dynamic asset allocation technique, allowing you to adopt a more logical approach to investing. Check out the following before investing in a BAF:

• Long-term track record in comparison to benchmark indexes and peers • Holdings under the surface • The fund manager's experience • Cost-to-income ratio

3. Supplementary Health Insurance Plan We're all aware that health insurance is required in our portfolio. It not only protects out-of-pocket payments in the case of a medical emergency but also keeps funds from drying up. Given the rise in medical inflation, however, it is critical to increasing health insurance coverage, and this is where a top-up health plan excels. A top-up health plan is a type of booster plan that offers additional coverage once your normal health insurance plan's limit has been reached. Assume you have a health plan of INR 10 lakh and a 12 lakh top-up plan. If your medical claim is worth INR 15 lakh, the normal health insurance plan will cover INR 10 lakh, while the top-up plan would cover the remaining INR 5 lakh. Top-up policies are simple to get and inexpensive when compared to traditional health insurance plans. Compare many plans and select the one that best meets your needs.

4. Liquid Funds Emergencies sometimes strike without warning, and they may quickly disrupt your financial plans. The necessity of having an emergency fund has been demonstrated by Covid-19, and you must create one via disciplined saves and investing. In this case, liquid funds are a good bet. They put their money into money market instruments with a 91-day maturity. They have a minimal risk of losing money due to market volatility because they typically invest in debt instruments. A systematic investment plan (SIP) in liquid funds can assist you in accumulating the cash you seek. Previously, an emergency fund equal to six months' worth of costs was optimal; but, in these times, an emergency fund equivalent to a year's worth of expenses is preferable. You can simply manage your finances if you have this amount in your account.

Conclusion The new Covid-19 version has harmed investor confidence and created an atmosphere of uncertainty. Having these items in your portfolio, on the other hand, may help you better manage your money, achieve your objectives, and stay on stable ground.

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TRENDS

TRENDS IN THE INFRASTRUCTURAL DOMAIN OF THE COUNTRY

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TRENDS

The infrastructure sector is the cornerstone of the nation. Being one of the most resilient sectors, it plays a crucial role in accelerating India’s overall development, thereby driving its economic growth. Increased government spending on more extensive scale projects offers strength to India’s competitiveness across the globe. As per Indian Infrastructure Sector in India Industry Report, India plans to spend US$ 1.4 trillion on infrastructure between 2019 to 2023 which is predicted to boost the expansive growth of the sector. The Indian infrastructure sector has always shown remarkable growth even during a crucial time like the COVID-19 pandemic. Also, during the unlock process of the lockdown, infrastructure and construction was the first economic activity to resume in the country. Clean energy and green initiatives for infrastructure development have given a much-needed push to the sector’s growth. Furthermore, the integration of the latest technology and the concept of building smart cities is continuously contributing to futuristic infrastructure developments in the country. The advancement in Infrastructure development further provides momentum to investments in India. According to the estimates of the Department for Promotion of Industry and Internal Trade (DPIIT), FDIs in the construction development and construction sector stood at US$ 25.78 billion and US$ 17.22 billion, respectively, between the period April 2000 and September 2020. Apart from that, India has evolved from being in need of foreign aid to helping other countries develop their infrastructure. The nation has invested a massive amount in infrastructure projects in nations like Nepal and Afghanistan for the construction of hydroelectric plants, dams and schools.

Government initiatives The Indian infrastructure sector has a multiplier effect on several other sectors. India is expected to become the world&#39;s 3rd largest construction market by 2022. Further, to strengthen the sector, the government has announced several initiatives to have a remarkable impact on the country’s infrastructure. Considering the country’s ongoing scenario, the government has announced its plans to allocate Rs. 233,083 crore (US$ 32.02 billion) to give a massive push to the sector and enhance transport infrastructure. From private companies to the government, stakeholders are steering the sector to give

it an edge. The announcement to set up the National Bank for Financing Infrastructure and Development (NaBFID) in March 2021 also proves to be beneficial in the seamless funding of infrastructure projects in India. As a result, an efficacious conclusion will be given to a huge number of infra projects. Furthermore, the Mega Investment Textiles Parks (MITRA) scheme was launched to establish world-class infrastructure in the textile sector and establish seven textile parks over three years.

Market Size According to the Department for Promotion of Industry and Internal Trade (DPIIT), FDIs

in the construction development sector (townships, housing, built up infrastructure and construction development projects) and construction (infrastructure) activities stood at US$ 26.14 billion and US$ 25.38 billion, respectively, between April 2000 and June 2021. In FY21, infrastructure activities accounted for 13% share of the total FDI inflows of US$ 81.72 billion

Boosting Railways Indian Railways is the 3rd largest network in the world under single management with over 68,000 route kms. The Government of India is making large investments in modernization and upgradation of railway

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TRENDS

The sector holds the largest share of the total Gross bank credit, standing at 11.4% as of March’20. This also represent 36.3% share in Gross bank credit given to all Industries. Gross bank credit towards the sector increased by 18.5% from 2018 to 2019 but stood largely stable between 2019 and 2020. Within infrastructure sector, telecommunications and roads witnessed 24.4% and 2.0% increase from 2019 to 2020 respectively, whereas power sector declined by 1.6% for the same period.

stations. Under Adarsh Station Scheme, about 1,253 stations have been identified and are planned to be developed by 2019-20. Telecommunication sector is also booming in India. Total telephone connections grew by 18.8% from 996.1 Mn in 2014-15 to 1,183.4 Mn in 201819 (Source: Economic Survey 2019-20). Power sector is an important component of infrastructure sector. Growing population with industrialization has increased the demand of electricity. As on April 2020, total installed capacity of power stations stood at 370.34 GW. Under the Saubhagya Scheme, 26.02 Mn households have had electricity connections as on 31st March’19.

Banking to add more financial muscle Amidst the huge growth opportunity in terms of expansion and investment, the sector requires large amount of capital which is guided through various banks in the country. The sector holds the largest share of the total Gross bank credit,

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standing at 11.4% as of March’20. This also represent 36.3% share in Gross bank credit given to all Industries. Gross bank credit towards the sector increased by 18.5% from 2018 to 2019 but stood largely stable between 2019 and 2020. Within infrastructure sector, telecommunications and roads witnessed 24.4% and 2.0% increase from 2019 to 2020 respectively, whereas power sector declined by 1.6% for the same period. However, on one side, while the sector holds high opportunity for banks to grant credit, inherent issues in terms of getting timely approvals from central and state government, like environment clearances, acquisition of land, availability of adequate and skilled manpower (as the sector is both labour and capital intensive) and proper and timely availability of raw materials, many a times leads to delay in project implementation or completion. This is also reflective into the high % of Gross NPA as compared to total advanced of banks. The sector had a Gross NPA of

TRENDS

of new roads. To optimize freight and passenger movements, the government has launched Bharatmala Pariyojana – a new umbrella program for the highways sector. It bridges critical infrastructure gaps through universal development involving the construction of Economic Corridors, Inter Corridors and Feeder Routes, National Corridor Efficiency Improvement, Border and International connectivity roads, Coastal and Port connectivity roads and Green-field expressways. Additionally, there will be an increased emphasis on the use of technology and scientific planning for asset monitoring and management. Furthermore, the building of new highways and expansion of existing ones is a major unconventional mode of ensuring seamless roadways infrastructure. Recently, The National Highways Authority of India (NHAI) has also set the timeline for 23 new highways to make them ready by 2023. This can only be implemented when there is a smooth cash flow in the sector. To ensure that, NHAI’s plans to set up Special Purpose vehicles (SPVs) for the Delhi-Mumbai expressway will offer the scope of reduced timeline and risks in the construction.

13.1% of total advances as of Mar’ 20, positively declining from peak of 22.6% in March’18 (during last five financial years), though remains very high. The issues in terms of delays on different works stand very high and may see further increase at least in the near-term as the sector also got hit by the Coronavirus pandemic. Power, infrastructure, and steel sectors together constitute about half of INR 4.1 lakh crore worth stressed assets. Power sector accounts for the largest proportion of the bad loans wherein RBI’s revised stressed asset framework is expected to benefit the stressed power sector assets that were operational and on the verge of being referred to insolvency proceedings under IBC (estimated at INR 1 lakh crore as on March 31, 2019).

Expanding roadways network Besides strengthening the railway network, the country is focusing on universal network development by allocating its resources for the construction

Increased private participation in non-core sectors NITI Aayog (erstwhile Planning Commission and the think tank of the Government of India) has been instrumental in advocating the increased private investment by way of public private partnership (PPP) in various non-traditional sectors as mentioned above. The last year witnessed many such tenders being rolled out which interestingly showcased the governments desire to not only leverage the private expertise and financing in various sectors but also its willingness to monetise the assets by claiming revenue share from the private concessionaire. In decades gone by, annuity payment and viability gap funding had found a consistent place in the bid out concessions, however, the recent trend has paved way for introduction of revenue share and premium as bid parameters. This paradigm shift has diluted the existence of caps on revenue allowing concessionaires a free hand to claim revenue from the users. The Ministry of Railways, Government of India, recently issued an RFQ for allowing private participation in the train operations on selected route. While many view this attempt to privatise the railways with contempt and have raised political debates around it, this move is also perceived as a move to revamp the railways in India both in terms of operation credibility and technological advancements.

Power, infrastructure, and steel sectors together constitute about half of INR 4.1 lakh crore worth stressed assets. Power sector accounts for the largest proportion of the bad loans wherein RBI’s revised stressed asset framework is expected to benefit the stressed power sector assets that were operational and on the verge of being referred to insolvency proceedings under IBC (estimated at INR 1 lakh crore as on March 31, 2019).

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TRENDS

The model concession agreement for the private operations of the trains issued by NITI Aayog allows the concessionaire to levy and collect passenger fare from the users as it may deem fit without any limits prescribed by the authority.

Infrastructure projects attract various strategic investors such as pension, debt, private equity and multilateral agencies. These strategic investors bring on board opportunistic strategies, placing a greater focus on growth, either organically or through acquisition, allowing for improvement of operations and reduction in overall risk profile of the investment to change the market’s perception of the asset.

Recognition of Financial Institutions as competent bidders Another step towards encouraging private investment has come forth by recognising the financial institutions (FI) as eligible bidders for the infrastructure projects. These FIs fulfil the financial net worth for the qualification and are provided flexibility to partner with an eligible technical expert by way of sub-contract. By allowing FIs to upfront bid for projects, instead of them passively acquiring strategic stake in such projects, serves multi-fold purpose: (a) cash-rich FIs are able to offer competitive yet bankable bids; (b) coming in as sub-contractor to an FI the project developer is released from the pressure of upfront infusion of significant equity; and (c) parties are better placed to assume risks suited to their strengths, where the operational risks are transferred to a project developer on a back to back basis. Such structure was recently witnessed in the tender rolled out by DMRC for the leasing of the rolling stock at Line 5 of the Delhi Metro.

Strategic Investments Infrastructure projects attract various strategic investors such as pension, debt, private equity and multilateral agencies. These strategic investors bring on board opportunistic strategies, placing a greater focus on growth, either organically or through acquisition, allowing for improvement of operations and reduction in overall risk profile of the investment to change the market’s perception of the asset. Once complete, a strategic investor could exit the venture after effectively crystallizing the value of these improvement efforts. This transformation of course has been made possible on account of the strategic investors adopting active management of the portfolios, repositioning investments, and recruiting an investment and management team that could manage companies. Actis’s creation of wind power platform named Ostro Energy, which was eventually acquired by ReNew Power at an appreciated value, is an example of such transformation of assets. Private placement of funds, consolidation of assets and mergers and acquisitions have become common in energy and infrastructure sectors. With an increase of such transactions, the

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employment of newer instruments of investment (OCDs, CCDs, NCDs, Green Shoe Option, Green Bonds etc.) and taxefficient structuring gained prominence. This period also witnessed opening up of newer infrastructure sectors, such as defense, aviation, urban transportation, healthcare, hospitality, SEZs, education, urban street-lighting, battery storage etc. for greater private participation.

Atma Nirbhar Bharat The announcement of ‘Atma Nirbhar Bharat’ has infused new vigour in the industrial sectors recovering from the impact of COVID-19. The policy changes such as fast track investment clearances, incentive schemes, creation of land banks, adoption of more liberalised environmental clearance norms, promise to lure the investors swift processes and higher returns. The Ministry of New and Renewable Energy is advocating for levying additional duty of 15-20% on solar modules, solar cells and solar inverters and providing land parcels across major ports to set up production units for local manufacturing of solar equipment to promote local manufacturing. The government has also announced commercial coal and mineral mining to be accessible to the private participants with readily available raw materials within the country the cost of development and operation of infrastructure projects will be considerably reduced providing higher rate of returns and lucrative opportunities for investors.

Buying Infra financiers India’s infrastructure credit was estimated at Rs 22.9 tn as of December 2020. During the nine months ended fiscal 2021, a mere 2% growth was reported due to contraction in banking sector credit. However, infra financiers (IFCs) bucked the trend in fiscal 2021 and grew 11% in nine months ended fiscal 2021, led by disbursements related to the liquidity package for distribution companies (discoms) by the PSU IFCs. Within the NBFC-IFC space, the public-IFC category continues to account for a majority share (94%). So what is an IFC? IFC is a non-deposit accepting loan company which has a minimum of 75% of its total assets deployed in infrastructure loans. As of 31 May 2021, there are nine NBFC infrastructure companies registered with the Reserve Bank of India (RBI). Power Finance Corporation, REC, and Indian Railways Finance Corp (IRFC), among others are known names. Other names include India Infrastructure Finance Company and L&T Infrastructure Finance Company.

TRENDS

Looking ahead… In a crisis, there’s often an opportunity that can have a multiplier effect. The infrastructure sector has a multiplier effect on several other sectors. Construction activities were the first ones to open up in gradual re-openings. While the economy is recovering, the havoc created by the pandemic on infra sector was on a large scale. India will have to invest heavily in order to recover. The optimism on infra sector is backed by expectations of strong recovery in the capital goods cycle, India's revival, and the post-covid recovery of corporate India, which is dependent on new demand. The government has tried to stoke such demand with PLI (production linked incentive) schemes. MNCs like Apple, Samsung, Dell, and Foxconn are all lining up to set up capacities in India. India's cab service provider Ola is all geared up to become the largest electric 2-wheeler maker in the world. Indian companies are bagging contract manufacturing deals from global behemoths. All in all, the demand for new infrastructure and expected growth in contracts for engineering sector is expected to keep the sector in favour in the near term. In one of her editorial, Co-head of Research at Equitymaster, Tanushree Banerjee shared why she is banking on the infra sector for India’s Revival. You can read it here: One More Reason Why I'm Bullish on India's Revival.

Outlook With the economy trying to come back to normalcy after the Covid-19 shocker,

focus for the players in the industry would be on fast-tracking the under-construction projects and to start new work. The governments extended focus on the sector is likely to bode well wherein the Government of India plans to spend about US$ 1.4 tn worth of investment across infrastructure to achieve GDP of US$ 5 tn by 2024-25. In 2021, INR 1,950,397 crores will be invested through NIP. Huge investments across all sectors of infrastructure, will create opportunities for stake holders. It is forecasted that infrastructure sector in India will grow at a CAGR of approximately 7% from 2020 to 2025 (Source: Mordor Intelligence). In 2020, the Government of India has set a target of INR 15 lakh crore investment in constructing roads in the next 2 years. India is expected to become the world’s 3rd largest construction market by 2022. The government’s efforts on improving the country’s energy infrastructure will provide an investment opportunity worth INR 21 Lakh crores in the next 10 years. About US$ 750 Bn of investment is suggested by the Government of India for railways infrastructure between 20182030. Initiatives like “Housing for All” and “Smart City Mission” is an effort by the Government of India to reduce bottlenecks in the infrastructure sector. The projected growth rate and investments may be hampered in short term due to Covid-19 pandemic, but we believe that industry will pick its pace in the second half of FY 20-21 and the growth will be sustainable for the projected year.

The government has tried to stoke such demand with PLI (production linked incentive) schemes. MNCs like Apple, Samsung, Dell, and Foxconn are all lining up to set up capacities in India. India's cab service provider Ola is all geared up to become the largest electric 2-wheeler maker in the world. Indian companies are bagging contract manufacturing deals from global behemoths.

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CAPITAL NEWS

UCO BANK EYEING INR 600-CRORE BAD LOANS RECOVERY IN Q4: SOMA SANKARA PRASAD, MD & CEO

CO Bank is expecting cash recovery and upgradation from bad loans accounts to the extent of INR 600 crore in the fourth quarter, although an elevated level of stress is observed in the retail, agriculture and MSME (RAM) portfolio going forward. Soma Sankara Prasad, MD & CEO, told FE that the bank is expecting cash recovery of INR 400 crore and upgradation of INR 200 crore in Q4. In the third quarter, the cash recovery and upgradation were at INR 363 crore and INR 191 crore, respectively. On slippages or fresh accretion to non-performing assets (NPAs) in the ongoing quarter, Prasad said, “We do not see much stress in the corporate segment, except in one major account which is under the FMCG space. But, we made sufficient provisions against this account in the third quarter itself.” Significantly, lenders to Future Retail have started classifying loans to the retailer as NPAs after the company missed payments to the banks. Prasad said the bank observes an elevated level of stress in the RAM portfolio going forward. “This is especially so in case of the Kisan Credit Card portfolio under agriculture and in respect of accounts where moratorium accorded is coming to an end,” he said. “However, we are confident that we would be able to arrest slippages by close monitoring and recovery. Moreover, the bank is already holding more than adequate provisioning and this will cushion the impact of slippages on profitability.” UCO Bank’s fresh slippages in Q3 stood at INR 579 crore. The lender said to contain slippages, it is “proactively” reassessing working capital facilities allowed to various borrowers in order to ensure that customers do not face liquidity and funding issues. “To strengthen the monitoring mechanism, particularly for the RAM segment, the bank is in the process of on-boarding a comprehensive software tool/solution for which the process has already been initiated,” Prasad said.

RATE HIKE:

SBI HIKES RETAIL DEPOSIT RATES FOR SECOND TIME IN 2 MONTHS

tate Bank of India (SBI) has hiked interest rates on retail deposits of some maturities for the second time in as many months. The rate hikes come a week after the monetary policy committee (MPC) voted to keep key rates unchanged to allow the economic recovery to gain strength. For deposits with balances of less than INR 2 crore, SBI will now pay 5.2 per cent per annum in the two-to-three-year bucket, up from 5.1 per cent. Deposits maturing in three years to less than five years will now yield 5.45 per cent, up from

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5.3 per cent earlier, and those maturing in five to 10 years will earn 5.5 per cent, as against 5.4 per cent earlier. HDFC Bank has also made a small hike of five basis points (bps) in the three-year-to-five-year bucket, taking the rate to 5.45 per cent. In January, most large lenders and a few mid-sized ones had raised deposit rates, but both bankers and analysts attributed those changes to technical adjustments necessitated by banks’ asset liability management (ALM) requirements.

NBFCS TO SEEK EXEMPTION OF SMALL-VALUE ACCOUNTS FROM NEW NPA NORMS

he non-banking financial company (NBFC) industry is planning to continue talks with the Reserve Bank of India (RBI) to seek an exemption of small-value loan accounts from the ambit of the new asset classification norms for the sector. The RBI acceded to the industry’s requests for an extension and granted an additional six months – up to September 30, 2022 – to NBFCs to comply. Under the guidelines outlined in a circular dated November 12, 2021, NBFCs will be allowed to upgrade a non-performing borrower account to ‘standard’ only if all outstanding dues are cleared. Industry sources told FE they will continue talking to the regulator and seek further exemptions for some specific categories of loan accounts. “We are in constant touch with RBI officials. Now that they have extended the implementation deadline, we will request them to exempt vehicle loans of up to INR 25 lakh and micro, small and medium enterprises (MSME) loans from the ambit of the circular,” said a person privy to the developments. In a letter to RBI chief general manager Manoranjan Mishra dated January 17, industry association Finance Industry Development Council had sought the deferment of the deadline for implementation by a year to March 31, 2023. Citing the impact of subsequent waves of the pandemic on borrowers, the letter sought an exemption for retail loans of up to INR 2 crore from the ambit of the new guidelines

Bankers said that the rate adjustments are also somewhat technical in nature, as lenders need to adjust their asset liability management (ALM) positions in keeping with regulatory norms. The rise in deposit rates is driven in part by an improvement in credit demand. According to latest data from the Reserve Bank of India (RBI), non-food credit and bank deposits grew at an almost identical pace of 8.3 per cent year-on-year (y-o-y) during the fortnight ended January 28. At the same time, the abundance of system liquidity remains an overhang on any meaningful movement in deposit rates. Karan Gupta, director, India Ratings and Research, said, “Banks continue to accrue deposits at a very healthy pace. Credit growth, while improving, is still not back to

CAPITAL NEWS

MUTHOOT FINANCE LOWERS CURRENT FY GUIDANCE TO 10-12%

BFC Muthoot Finance has lowered its guidance for the current fiscal year to 10-12 per cent from 15 per cent with active loan base shrinking in the third quarter. In Q3 of FY22, the number of loan accounts shrunk by 3 per cent quarter on quarter (QoQ) while the number of active customers declined by 2 per cent QoQ. Some customers have more than one loan account. New customer acquisition during the quarter stands at 4.2 lakh.

“until situation returns to normal”. The deferment of the deadline sent stocks of some NBFCs soaring on Wednesday. PNB Housing Finance gained the most, with its shares rising as much as 11 per cemt intra-day. Shares of Centrum Capital, Srei Infra Finance, M&M Financial Services and Reliance Capital rose 4-6 per cent. Most listed NBFCs have already complied with the RBI’s guidelines and accounted for the impact in Q3 results. YS Chakravarti, MD & CEO, Shriram City Union Finance, said, “We believe it could have been helpful if the measures extending the revised asset classification and provisioning norms had come along with the RBI circular issued on November 12, 2021. Most NBFCs have already absorbed the impact in their third-quarter results. The clarification by the RBI only defers the adoption of the new norms.” Companies are unlikely to reverse the provisions they have already made in order to avoid accounting complexities, Chakravarti said. “For Shriram City Union Finance, there will be no impact since our loan book is already well provided for.” India Ratings and Research had earlier said NPA accounting changes are likely to increase NPAs by around one third for NBFCs.

“More people took back their gold and closed loan accounts during Q3. Last fiscal year, in Q2 and Q3, there was a huge demand for loans right after the lockdown. Some of them abandoned their gold as the desired cash flow did not materialise and we had to auction some of them,” George Alexander Muthoot, managing director, Muthoot Finance, told FE. “As the financial sector continues to be in the grip of Covid-19 pandemic in the aftermath of the second wave and the slowing down on account of the third wave, our focus was on the recovery of loans, especially the gold loan segment,” he added. Auctions were also on the higher side for the gold loan lender at INR 2,800 crore, the highest in four years, and the share of stage 3 assets in Q3 increased by 200 bps QoQ to 3.8 per cent. On a sequential basis, the loan assets under management of the gold loan division declined by 1 per cent QoQ to INR 54667 crore. The NBFC does not expect NPA to increase further, and remain optimistic about growth in gold loans. “Business is only limping and people are only spending for the essential. Things are getting better and we hope to see growth from Q1 of the next fiscal year,” he said. The NBFC’s third quarter consolidated net profit increased 4 per cent year on year (YoY) to INR 1043.6 crore, largely owing to a good performance by the gold loan division. The Kerala-based finance company, which also operates home loan, microfinance and insurance broking subsidiaries, said it is cautious regarding the non-gold business with NPA in the range of 5 to 6 per cent, and expects growth only after three-four quarters.

double-digit levels. So as and when these things change and banks start to see that liquidity is declining, that is when the pace in deposit rate hikes is likely to pick up.” Gupta expects rate hikes to be small in the next three to four months. Other analysts pointed to the fact that large banks typically see faster credit growth than the system. So a series of rate hikes could suggest that they are preparing for an improvement in credit demand. To be sure, some large lenders like Bank of Baroda (BoB) have chosen to keep a tighter grip on margins and are therefore keeping term deposit rates unchanged. Sanjiv Chadha, MD & CEO, told FE earlier this month that the bank has focused on growing its current account savings account (CASA) portfolio, which rose 12 per cent y-o-y in Q3FY22. “Even when deposit rates start rising, the book which is low-cost for us now is significantly higher now than where it was two years back. From 37 per cent it has risen to over 44 per cent. Therefore, we are in a reasonable position where we can say that while there may be a secular uptrend in the offing, it may be some time before it gets reflected in elevated deposit costs,” Chadha said.

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DEFENCE

DEVELOPMENT OF KAVERI ENGINE:

AN UPDATE

Cabinet Committee on Security (CCS) sanctioned Kaveri Engine project in 1989. The following milestones were achieved: 9 Full prototype engines and 4 core engines built, 3217 hours of engine testing conducted and Completed Altitude tests & Flying Test Bed (FTB) trials. This is the first time that an indigenously developed military gas turbine engine was flight tested Kaveri engine project has achieved higher Technology Readiness Level (TRL) in many critical technology domains and those technologies are being used in the various engine development programmes of the country. Further the engines are used as test vehicles for validating next generation technologies. At present, the LCA Tejas is integrated with an imported engine. However, in future, it is proposed to develop indigenous engines for powering our own aircrafts such as LCA variants and AMCA in association with an International Engine House. The

Funds details are as follows: Funds allocated

Expenditure

Commitment

INR 2105 crore

INR 2035.56 crore

INR 2097.65 crore

technological capabilities built through the Kaveri engine project will be utilised. LCA Tejas, Flight Operational Clearance (FOC) configuration demands higher thrust

than the intended engine requirement. Hence the Kaveri in the present architecture cannot be integrated. In order to induct with LCA Tejas, a modified engine version is required.

INDIA SUMMONS SOUTH KOREAN ENVOY OVER

HYUNDAI PAKISTAN’S TWEETS

outh Korean carmaker Hyundai is the line of fire for social media posts on Pak-sponsored ‘Kashmir Day’. Following the offending post on social media by the Hyundai Pakistan, on Monday morning (Feb 7, 2022) the Ambassador of Republic of Korea (RoK) was summoned by the Indian Ministry of External Affairs (MEA).

Responding to media queries related to the Hyundai Pakistan on the so called Kashmir Solidarity Day, official spokesperson of Ministry of External Affairs, Arindam Bagchi said: “The strong displeasure of the Government on the unacceptable social media post by Hyundai Pakistan was conveyed to him.” Also, “it was highlighted that this matter concerned India’s territorial integrity on which there could be no compromise,” the spokesperson has said in a statement issued by MEA. Adding, “We expected the Company to take appropriate action to properly address these issues.” India’s external affairs minister Dr S Jaishankar tweeted that he had received a call from the Foreign

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Minister of the Republic of Korea, Chung Eui-yong today. In his tweet the minister said besides discussing the bilateral and multilateral issues, the Hyundai matter was discussed too. According to the MEA statement, the Foreign Minister of RoK Chung Euiyong during his conversation with his Indian counterpart conveyed the regrets offence caused to the people and government of India. The offensive social media post has been pulled down since. While conveying its deep regret to the people of India, Hyundai Motors in India issued a statement and has made it clear that it does not comment on religious or political issues. The MEA in its statement has stated that investments by foreign companies in various sectors are welcome. And has made it clear that “such companies or their affiliates will refrain from false and misleading comments on matters of sovereignty and territorial integrity.”

DEFENCE

DRDO SHARES TECH WITH 5 FIRMS FOR MAKING EXTREME WEATHER CLOTHES FOR

reduction in respiratory heat and water loss, unhindered range of motions and rapid absorption of sweat while providing waterproof, wind-proof features with adequate breathability and enhanced insulation, as well as strength features required for high altitude operations.

ARMY JAWANS

The three-layered ECWCS is designed to suitably provide thermal insulation over a temperature range of +15 to -50 degree Celsius with different combinations of layers and intensity of physical work.

he extreme ECWS is required by the Indian Army for its sustained operations in glaciers and Himalayan peaks. The Indian Army, till recently, has been importing extreme cold weather clothing and several Special Clothing and Mountaineering Equipment (SCME) items for the troops deployed in high altitude regions.

Considering the widely fluctuating weather conditions in the Himalayan peaks, the clothing provides an advantage of fewer combinations to meet the required insulation or IREQ for the prevailing climatic conditions, thereby providing a viable import alternative for the Indian Army.

The DRDO designed ECWCS is ergonomically designed modular technical clothing. It has improved thermal insulation and physiological comfort based on the insulation that is required in various ambient climatic conditions in Himalayan regions during different levels of physical activity. The ECWCS embodies physiological concepts related to

DRDO chief G Satheesh Reddy said there was a need to develop an indigenous industrial base for SCME items, not only to cater to the existing requirements of the Indian Army but also to tap its potential for export.

COCHIN SHIPYARD DELIVERS THREE FLOATING BORDER

OUT-POST VESSELS TO BSF

he Cochin Shipyard Limited (CSL) has delivered three Floating Border Out-Post (FBOPs) vessels out of the nine FBOPs being built for the Border Security Force (BSF). The formal acceptance and protocol signing ceremony of the vessels was held in New Delhi the other day. Mukesh Tyagi, DIG, Water Wing of the BSF, signed the agreement with Neelakandhan A.N., Chief General Manager, Cochin Shipyard, in the presence of C.G. Rajini Kaanthan, Joint Secretary, Ministry of Home Affairs. It was in March, 2019, that the MHA placed orders for design, construction and supply

of nine FBOPs for the water wing of the BSF. Six remaining vessels in the contract are in an advanced stage of construction and are getting ready for delivery, according to a press release. The FBOPs, with an overall length of 46 metres, and breadth of 12 metres, are designed for deployment in Inland waters of India, specifically in the creek area of Kutch (Gujarat) and Sunderbans of West

Bengal. The vessels are designed inhouse by CSL and classed by Indian Register of Shipping and each FBOP vessel is designed with stowage arrangements for four fast patrol boats, which can be launched and hoisted using its own davit system. The vessel is intended to act as the floating base for the flotilla of fast patrol boats.

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DEFENCE

CHINA CONTINUES TO ILLEGALLY OCCUPY APPROXIMATELY 38,000 SQ KM OF INDIAN TERRITORY:

GOVERNMENT

hina continues to be in illegal occupation of approximately 38,000 square km of Indian territory in the Union Territory of Ladakh for the last six decades, the government said in Lok Sabha on Friday. Minister of State for External Affairs V Muraleedharan said that Pakistan illegally ceded 5,180 sq km of Indian territory in Shaksgam Valley to China in 1963 from areas illegally occupied by it. “China continues to be in illegal occupation of approximately 38,000 sq kms of Indian territory in the Union Territory of Ladakh for the last six decades,” he said in a written reply to a question in Lok Sabha. “Further, under the so-called ChinaPakistan ‘Boundary Agreement’ signed in 1963, Pakistan illegally ceded 5,180 sq kms. of Indian territory in Shaksgam Valley from areas illegally occupied by Pakistan in Union Territory of Ladakh to China,” Muraleedharan said. He said the government of India has never recognised the so-called China-Pakistan ‘Boundary Agreement’ of 1963 and has consistently maintained that it is illegal and invalid. “The fact that the entire Union Territories of Jammu & Kashmir and Ladakh are an integral and inalienable part of India has been clearly conveyed to Pakistani and Chinese authorities several times,” he said. Further, under the so-called China-Pakistan ‘Boundary Agreement’ signed in 1963,

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Pakistan illegally ceded 5,180 sq. kms. of Indian territory in Shaksgam Valley from areas illegally occupied by Pakistan in Union Territory of Ladakh to China, the minister said in a written reply to a question. Replying to a question of Bahujan Samaj Party MP Shyam Yadav Singh Muraleedharan said, “Government of India has never recognised the so-called China-Pakistan ‘Boundary Agreement’ of 1963 and has consistently maintained that it is illegal and invalid.” “The fact that the entire Union Territories of Jammu & Kashmir and Ladakh are an integral and inalienable part of India has been clearly conveyed to Pakistani and Chinese authorities several times,” the MoS said. After the 1962 conflict, both China and Pakistan saw an opportunity to strengthen and develop their relations to put strategic pressure on India. As part of that bargain in 1963 agreement between China and Pakistan was signed, even though there is no border between the two countries. Moreover, it was ceded to China by Pakistan. Later, Chinese President Xi Jinping announced the China Pakistan Economic Corridor (CPEC) in 2013, making further use of the illegal connections between China and Pakistan to consolidate their bilateral ties including Shaksgam Valley to China in 1963. India has continuously opposed the Belt and Road Initiative (BRI) and CPEC as a violation of sovereignty right from 2013 onwards.

INDIA FLIGHT TESTS RAFALEMARINE FOR

INS VIKRANT

he marine version of the Frenchmade Rafale fighter jet has been successfully flight-tested at a shorebased facility in Goa where conditions similar to that on the indigenouslydeveloped aircraft carrier INS Vikrant were simulated, a top diplomat said. The Rafale-M is pitted against the US-made Super Hornet — both of which are being evaluated for a possible purchase by the Indian Navy for deployment on the 44,000-tonne INS Vikrant that is undergoing trials in the Arabian Sea and the Bay of Bengal for likely commissioning in August. Tests were done to check its (RafaleMarine’s) take-off (capability) from the deck of your (India’s) carrier and it has done very well,” Frech Ambassador to India Emmanuel Lenain told journalists on Tuesday evening here in a freewheeling conversation. India’s new aircraft carrier has been designed as a ski-jump

DEFENCE

EU WANTS INDIA TO JOIN IN FINANCING INITIATIVE FOR INDOPACIFIC TO COUNTER CHINA:

FRENCH DIPLOMAT

rance which assumed the presidency of the European Union last month wants to work with India to ensure transparent financing in the Indo-Pacific region, said a top French diplomat. The European Union has noted that China is using its financial heft to fund a large number of projects in the region and expects to announce its own transparent and green financing initiative in which India will play a pivotal part. It’s a big problem. China is using its financing to (fund projects in) some countries in the region, pointed out French Ambassador Emmanuel Lenain, in a conversation with journalists here Tuesday evening, citing Sri Lanka as an example. The European Union will be hosting the Indo-Pacific Forum on February 22, which Minister for External Affairs S Jaishankar is expected to attend. The financing initiative where India will play a central part may be unveiled at the forum, the Ambassador indicated, adding that it will be transparent launch ship, different from many other such carriers, which use a catapult launch for their jets. The aircraft selected by the Indian Navy consequently must be capable of taking off in this fashion, carrying all weapon systems and full fuel load. The Rafale-M jet was tested for 12 days last month at Goa’s INS Hansa facility using a 283 metre mock ski-jump facility, Lenain said. The ski-jump ramp uses what naval experts call short take-off but arrested recovery (STOBAR) technology. Boeing’s Super Hornet or F/A-18 jet, which is also being offered to India, is expected to undergo similar tests at

and green (ecologically sustainable). China accounted for about 10 per cent of Sri Lanka’s Dollar 35 billion foreign debt as of April-end 2021, government data showed. Among key projects which China has funded are the Hambantota port, which the Chinese have taken over on a 99-year lease, and a special economic zone on 660 acres of reclaimed land called the Colombo Port City. Strategic analysts fear this is China’s way of building a ‘string of pearls’ or facilities in the Indo-Pacific region which could further the rising superpower’s influence. Ambassador Lenain said, India is top priority (for France and the EU) in the Indo-Pacific region. We feel we are neighbours with (French-controlled) islands with 1.5 million people in the region. France owns a clutch of strategic islands near Madagascar in the Indian Ocean, which include Reunion island, Comoros archipelago, Crozet islands, Kerguelen islands and St Paul and Amsterdam islands. INS Hansa next month. The suppliers have made modifications to both Rafale-M and Super Hornet to make them suitable for the Indian order, defence sources said. The Navy was looking for an aircraft that is capable of delivering nuclear loads, air-to-air and airto-ground missiles, and precision-guided bombs, they said. The Navy wants to initially purchase 26 jets for its aircraft carrier, though it had issued in 2017 a Request for Information (RFI) for 57 multirole aircraft capable of being launched from carriers. The RFI was issued as the Navy will be phasing out the MiG-29Ks, currently being used on INS Vikramaditya — a modified Kiev class carrier — in 2034. Ambassador Lenain pointed out that Indian Air Force was already using Rafale fighter jets and “was very satisfied with the aircraft”. Since the IAF has Rafale jets, a Naval order would build on commonality, he said. “We have already supplied 35 Rafales in the last order and will complete it by sending the 36th before the deadline in April,” he said. India had in 2016 placed the order for the jets with Dassault in a fly-away condition.

AROUND 45,906 ACRES OF DEFENCE LAND LYING VACANT:

GOVT

round 45,906 acres of defence land, under the management of different services and organisations, is presently lying vacant, the government said in Lok Sabha on Monday. Minister of State for Defence Ajay Bhatt, replying to a question, said service headquarters have informed that the available land under their management is used for bonafide military purposes only and for strategic operational and security needs. To a separate written question on the number of accidents or mishaps that have taken place inside the properties owned by the Indian Navy and Indian Air Force since 2010, Bhatt declined to provide the details. “The information sought is sensitive in nature and cannot be divulged on the floor of the House in the interest of the national security,” he said. On the question on defence land, he said: “Approximately 45,906 acres of defence land under the management of different services and organisations of the ministry of defence is presently lying vacant.” “Post corporatisation of Ordnance Factory Board, surplus land of approximately 3152 acres located at 16 ordnance factories have been identified,” he said. To another question, Bhatt said the percentage of total capital acquisition of military hardware from foreign countries has been progressively decreasing since 2018-19. He said the percentage of capital procurement from abroad was 48.68 in 2018-19 that declined to 41.89 percent in 2019-20. The figure for 2020-21 was 36 percent, while it was 39.44 percent in 2021-22. “The government has taken several policy initiatives in past few years under ‘Make in India’ programme and brought reforms to encourage indigenous design, development and manufacture of defence equipment in the country, thereby reducing dependence on imports in coming years,” he said.

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TOP STORY

MULTIVITAMIN

GUMMIES

ADDING ANOTHER HEALTH QUOTIENT TO YOUR DAILY DIET GUMMIES TO REPLACE TABLETS AND CAPSULES FOR MULTIVITAMINS

ummies market is sprawling its nexus globally especially, the one with nutritional values. Basically, these chewable supplements are designed particularly for kids as a replacement for pills and capsules that add required nutrients to kids’ body. One advantage of gummies is that they are more appetizing than traditional pills. Also, being chewable, and there’s no risk that the product will break, which often happens with a tablet. Gummy vitamins are made very tastier and are available in wide variety of attractive delicious flavors that attract the young as well as adults. In India as well, the gummy vitamin market has been witnessing exponential growth. Especially, in the last two years, many new players have ventured in this domain and with a relatively new and innovative concepts; they are driving this industry on a fruitful path. Nowadays, particularly after the outbreak of COVID-19, there is a strong sense of health awareness ignited amongst the people and this cause is acting like a catalyst for the growth of gummy vitamin products in India.

According to Market Study Report, LLC, the nutraceuticals market in the US is likely to account for USD138,047 million by the year 2027 from USD73,986 million as of 2018. The nutraceuticals industry in India is also creating ripples and reflecting a tremendous year-on-year growth. ASSOCHAM reveals that this

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market is all set to touch a mammoth figure of USD 8.5 billion by 2022 from USD 2.8 billion in 2015. The Global Gummy Vitamins Market is set to touch a lofty valuation of USD 9,395.1 million by 2028, as per the findings of Market Research Future (MRFR) in its latest report. “India can contribute massively to the market due to a rise in health consciousness levels among consumers and rising cases of vitamin deficiencies. The growth of the gummy vitamins market in the region is facilitated by consumption of vitamin supplements by the middle-income group combined with their increased purchasing power,” stated

Gummy vitamins are made very tastier and are available in wide variety of attractive delicious flavors that attract the young as well as adults

the report. Elaborating further on the rise in demand of multivitamin gummies in India, Jagadish Jain, Founder, Nutrazee said, “The Gummy Vitamin market has been growing exponentially in India over the last two years. In 2018, there were only a very few brands in the gummy vitamin segment with most of them not catering to what the consumer wanted in a gummy vitamin product and that's when we decided to launch our first product ‘Nutrazee Multivitamin Gummies’, the success of our product attracted attention from many Nutraceutical brands and today, we have almost every nutraceutical brand offering at least one product in gummy form.” Moreover, the rise in health concerns due to a sedentary lifestyle is inclining people towards adopting health supplements; this is projected to result in an exponential growth in demand for vitamin-induced products in gummy formats. The growth of the gummy vitamin can be further attributed to the convenience provided by gummy products and the increasing number of consumers suffering from pill-swallowing issues. An average pack of gummies, which lasts a month, can cost anywhere between INR 300-INR 500. “I strongly believe India could be the fastest-growing gummy vitamin market in the Asia Pacific region in the next three years,” Jain added further.

TOP STORY

Divij Bajaj, Founder, Power Gummies

Slower growth rate is a matter of concern The United States and Canada are the biggest markets for gummy vitamins at present, the growth in these nations is also substantially higher than the market here in India. Although there is a strong increase in awareness about gummy vitamins in India, still the country has to cover lot distance to reach close to the market in the West. About 75 per cent of adults in US consume dietary supplements, these figures are almost negligible in India, but with increasing awareness about health supplements among the Indian population and tremendous opportunities for the brands, it feels the Indian market can reach close to the West market in the next 5-10 years. “The current market size of gummy vitamins is considerably small compared to the market in North America, Europe, and China but with increasing awareness among the population, we are very positive that it would be a broad market in the next few years,” Jain stated. Echoing the similar voice, Divij Bajaj, Founder, Power Gummies said, “Presently, the gummy vitamins market is growing our country so currently we are not even inch closer to the western market. But if one look at the market size and potential of Indian market, he will be convinced that this sector is on the right track to achieve its set goals.”

Gaining popularity during COVID-19 The entire world was in stage of shock after the outbreak of Pandemic COVID-19. Many trades and businesses have drawn their curtains and people were stocking up on vitamins and other implements in a bid to increase their immunity against the deadly virus. This resulted in an increase in demand of these gummy supplements among the people. Many companies witnessed a heavy surged in demand of their products especially in the online domain. However, during the first phase of the lockdown, the supply couldn’t match requirements owing to restrictions imposed by the government, since nutraceutical products don’t fall in essential category. But as the restrictions were eased, companies

Jagadish Jain, Founder, Nutrazee

started churning out their supply chain to fulfill the demands of their product. “First phase of the lockdown was difficult for us but as things progressed, we started our deliveries and online aggregators such as Amazon, Nykaa started rolling out orders for us. Due to the lockdown, people switched their buying habits from offline to online and this switch actually struck a positive chord for us,” said Bajaj. Further explaining consumer behaviour, Jagadish Jain said, “There is a rise in health concerns due to the covid pandemic, this has led to rise in the awareness of immunity-boosting and other vitamin supplements among the population, as a result, there is an exponential growth in demand for health supplements especially gummy vitamin products, which are now the most preferred form of supplement for kids. This demand has surged our business and helped us grow exponentially.”

Strong promotional activities need of the hour Vitamin gummy concept is relatively new in India and this is the reason that the demand of these chewable vitamins is mostly limited to metro cities. Elaborating further

Vitamin gummy concept is relatively new in India and this is the reason that the demand of these chewable vitamins is mostly limited to metro cities

on requirement for strong promotional activities to spread awareness among the people, Jain said that the strong promotions will definitely help in taking the Gummy Vitamin concepts to a wider audience. The advantage of taste and the convenience that gummy vitamins offer over pills and tablets can be spread to a wider audience through innovative promotional campaigns and with more brands participating, one can visualise a tremendous growth opportunity in the near future. Many brands have stepped further and started running electronic and print campaigns in various media houses to expand their reach. Furthermore, various brands such as Power Gummies have roped in Bollywood celebrity Shraddha Kapoor in order to connect with the young generation of the country. Similarly, many vitamin gummy producers have worked vigorously on their gummy packaging to allure more customers. In fact, the Indian market for gummy vitamin has been more innovative in packaging compared to the west market where the brands mostly use bottles and jars, also they still do not have pillow pack or similar packaging for wrapping each individual gummies. In absence of a wrap around each gummy, the gummies tend to stick to each other in the bottle and sometimes even melt in harsh weather conditions. This is a common problem for consumers in the west market; thankfully this is not the case here in India where almost all brands use pillow packaging for each individual gummy. Nutrazee was among the first brands in India that started using pillow packaging to wrap each gummy in a bottle to avoid the problems faced by consumers in the west market.

Quotes “The Gummy Vitamin market has been growing exponentially in India over the last two years. In 2018, there were only a very few brands in the gummy vitamin segment with most of them not catering to what the consumer wanted in a gummy vitamin product and that's when we decided to launch our first product ‘Nutrazee Multivitamin Gummies’, the success of our product attracted attention from many Nutraceutical brands and today, we have almost every nutraceutical brand offering at least one product in gummy form." -Jagadish Jain, Founder, Nutrazee “Presently, the gummy vitamins market is growing our country so currently we are not even inch closer to the western market. But if one look at the market size and potential of Indian market, he will be convinced that this sector is on the right track to achieve its set goals.”- Divij Bajaj, Founder, Power Gummies

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SPECIAL STORY

UNION BUDGET 2 0 2 2

HIKE IN CAPITAL EXPENDITURES, BOOST FOR INFRASTRUCTURE & MORE

Finance Minister Nirmala Sitharaman delivered the muchanticipated "economic booster shot" Union Budget 2022 in Parliament today. Sitharaman stated that the country will expand at a rate of 9.27 per cent in the following year when presenting the budget for the fourth time. She also stated that the budget aims to establish the groundwork and provide a roadmap for the economy for the next 25 years, from India's 75th to India's 100th birthday.

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SPECIAL STORY

The corporate fee would be decreased from 12 per cent to 7 per cent, according to the Finance Minister. Furthermore, the personal tax system will remain unchanged. Long-term capital gains on listed equity share units are also subject to a maximum 15 per cent fee. The budget also suggested raising the tax deduction ceiling on employers' contributions to state government employees' NPS accounts to 14 per cent. "The possibility of extending the redemption of current tax benefits for entrepreneurs until March 31, 2023, is one of the primary features of this Union Budget." This would help the country's total startup environment recover from the epidemic, according to Srikanth Iyer, CEO and cofounder of HomeLane.

he budget, which was given on a 'Made in India' tablet, comes at a critical moment for the public, with five state elections coming up and the omicron wave looming. The following are the most important lessons from India's second paperless budget.

industries, leaving no stone untouched," YS Chakravarti, MD and CEO, Shriram City, stated in response to the announcement. Given the difficult conditions, this is a bold budget, a growth-oriented budget that will have a multiplier impact and benefit everyone."

Increased Capital Expenditure In 2022-23, the budget forecasts the Central government's effective capital spending to be INR 10.68 lakh crore or around 4.1 per cent of GDP. To fund major infrastructure projects, the allocation for CAPEX spending has been enhanced by 35.4 per cent from INR 5.54 lakh crore to INR 7.50 lakh crore in 2022-23.

For FY23, the fiscal deficit is expected to be 6.4 per cent of GDP The government's budget deficit for the fiscal year 2022-23, according to the Finance Minister, would be 6.4 per cent of GDP. Between April and November 2021, the Union government's fiscal deficit was INR 6.96 lakh crore, down 35.3 per cent year on year. This amounted to 46.2 per cent of the current fiscal year's budget forecast.

In her address, Sitharaman stated, "Capital spending for FY23 would be 2.9 per cent of GDP." Furthermore, gross GST receipts for January 2022 are INR 1,40,986 crore, the highest since the tax was introduced in 2017, according to the Finance Minister. "The Union Budget 2022 is a CAPEX-driven budget with a host of initiatives across

The budget deficit for the entire year was estimated to be INR 15.07 lakh crore or 6.8 per cent of GDP, but this was amended to 6.9 per cent. Surcharge on cooperatives is reduced, while the personal tax structure remains unchanged.

The government's budget deficit for the fiscal year 2022-23, according to the Finance Minister, would be 6.4 per cent of GDP.

The Cryptocurrency Tax and the Digital Rupee The Reserve Bank of India (RBI) will introduce digital money around 2022-23, according to Sitharaman. The minister stated that the digital rupee, or central bank digital currency, will be created via blockchain and that it will provide a significant boost to the economy. Sitharaman also imposed a 30 per cent tax on the proceeds of virtual or digital assets at the same time. She stated, "Income from the transfer of digital assets will be taxed at 30 per cent." For transactions exceeding a particular level, a 1 per cent TDS will be charged. Furthermore, receivers will be taxed if they receive virtual digital assets as a gift. "The regulatory guideline on tax from the government furthers the mainstreaming enthusiasm of this burgeoning asset class with over USD 6 billion in investments in India," said Ashish Singhal, founder and CEO of CoinSwitch and co-chair of the Blockchain and Crypto Assets Council (BACC). It's also the portal to Web3.0, the future decentralised world. The digitally aware Indians of today are eager to try out this new asset class. The budget clarifies taxation and demonstrates the government's intention to follow a businessfriendly approach while safeguarding consumers' and the exchequer's interests."

Gati Shakti is the first to receive funding For the fiscal year 2022-23, the INR 100-lakh-crore programme for constructing holistic infrastructure in India received its first-ever outlay of INR 20,000 crore. "PM Gati Shakti would cover the seven engines for multi-modal connectivity for the states with quicker implementation of development projects using technology to promote the faster flow of people and products," stated the Finance Minister.

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"PM Gati Shakti is a game-changing strategy based on roads, trains, ports, airports, public transportation, waterways, and logistical infrastructure." All seven engines will work together to propel the economy ahead. According to Sitharaman, the initiative will enhance the national highway network by "25,000 kilometres in 2022-23." "I believe it's a wonderful budget in terms of infra and capital goods push," said Yagnesh Sanghrajka, founder and CFO of 100X.VC. "Every startup that is potentially supplying these industries will get a leg up." In addition, for safety and capacity enhancement, 2,000 kilometres of the rail network will be brought under the KAWACH indigenous world-class technology. In addition, 400 new Vande Bharat trains with improved efficiency would be introduced over the next three years, and 100 PM Gati Shakti Cargo terminals will be created.

Solar Module Manufacturing Gets a Boost Sitharaman also announced INR 19,500 crore to increase solar module manufacturing under the government's flagship Output Linked Incentive plan, noting that the initiative has the potential to create 60 lakh new jobs and 30 lakh crore extra production over the next five years. "An additional allocation of INR 19,500 crore for PLI for manufacturing of high-efficiency modules will be made with priority to fully integrate manufacturing units to solar PV modules to facilitate domestic manufacturing for the ambitious goal of 280 GW of installed solar capacity by 2030," FM said. "The PLI plan is particularly significant especially for the real estate and organised home interiors industry, which are

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Chemical-free natural farming will be promoted across the country in the first stage, with a focus on farmers' land in 5 km wide corridors along the Ganga. dependent on other nations as the total prices for manufacturing in India are still substantially higher, given the prolonged global supply chain issue," HomeLane's Iyer said. I am convinced that this would help to further enhance India's organised home interiors sector and assure higher reliance on domestic manufacturing needs."

Agri Funding, Natural Farming and Kisan Drones Chemical-free natural farming will be promoted across the country in the first stage, with a focus on farmers' land in 5 km wide corridors along the Ganga, according to FM, who also stated that procurement of wheat in Rabi season 202122 and estimated procurement of paddy

in Kharif season 2021-22 will cover 1208 lakh metric tonnes of wheat and paddy from 163 lakh farmers, with INR 2.37 lakh crores being paid directly to their accounts as MSP value. The FM also stated that the NABARD will assist the creation of a fund with blended capital raised through a coinvestment approach to finance agritech entrepreneurs. In addition, the use of 'Kisan drones' for crop evaluation, digitalization of land data, and pesticide and fertiliser spraying will be pushed.

An Effort to Assist MSME MSMEs such as Udyam, e-shram, NCS, and Aseem portals will be interconnected,

SPECIAL STORY

concept. This is one of the digital blueprints laid forth in the National Education Policy. She also suggested that the National Skill Qualification Framework be aligned with industry demands. "The e-stack will be introduced to allow citizens to skill, reskill, and upskill through online training," she stated. It will also offer API-based trustworthy skill certifications, payment, and discovery layers to help people locate appropriate employment and start businesses." She also stated that PM e-'One vidya's Class, One TV Channel' initiative will be expanded from 12 to 200 TV channels, allowing all states to provide K12 sections with additional education in regional languages. and their reach will be expanded, according to the government. The Emergency Credit Line Guarantee Program (ECLGS) will also be extended till March 2023, with a guaranteed cover of INR 50,000 crore increased, bringing the total insurance under the scheme to INR 5 lakh crore. The ECLGS was made available as part of an INR 20 lakh crore package announced by the Finance Ministry in 2020 to assist MSMEs affected by the epidemic.

Digital University and DESL Stack Portal The Finance Minister proposed establishing a digital university that would deliver instruction through a hub-and-spoke

Program for Telemental Health A National Tele Mental Health initiative will be created to enhance access to high-quality mental health counselling and treatment services. Experts believe that there was little clarity on the healthcare distribution. "It is known that the government has spent a significant amount of money on healthcare and vaccinations in the aftermath of the epidemic." However, there is a critical and massive need for investment in the country's healthcare infrastructure, particularly in chronic illness treatment and senior care. "These locations were not listed in the budget," said Meena Ganesh, MD,

The Finance Minister proposed establishing a digital university that would deliver instruction through a hub-and-spoke concept.

Chairperson of Portea Medical, a home healthcare company.

Push for Digital Banking Adoption In 2022, the FM declared that all post office banks will be brought under the core banking umbrella. "All 1.5 lakh post offices in India will be connected to the main banking system, allowing individuals to view their accounts online and move money between post office accounts and other banks," she explained. She went on to say that to commemorate India's 75th year of independence, scheduled commercial banks would open 75 digital banking centres in various districts. Furthermore, the funding allocated last year to support digital payments will be maintained in 2022-23. Aside from the aforementioned, the following are some other takeaways: • The Life Insurance Corporation of India is set to go public soon. • To boost Aatmanirbharta and minimise reliance on imports of defence equipment, 68 per cent of the capital procurement budget for Defense will be reserved for the indigenous industry. This is up from 58 per cent the previous fiscal year. • In 2022, a 5G spectrum auction will be held. • Customs charge on cut and polished diamonds and stones will be decreased to 5 per cent, duty on umbrellas will be raised to 20 per cent, and steel scrap will be free from customs duty. • To set up charging stations on a large scale, a battery swapping strategy and interoperability standards will be developed.

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SPECIAL STORY

A NEW DIGITAL CURRENCY FOR INDIA IN FY23,

DIGITAL ASSETS TO BE TAXED

ndia's digital currency is on the verge of becoming a reality. Finance Minister Nirmala Sitharaman declared that the Reserve Bank of India (RBI) will launch digital money in 2022-23 while delivering her fourth budget. The minister stated that the digital rupee, or central bank digital currency, will be created via blockchain and that it will provide a significant boost to the economy. Sitharaman also imposed a 30 per cent tax on the proceeds of virtual or digital assets at the same time. She stated, "Income from the transfer of digital assets will be taxed at 30 per cent." For transactions exceeding a particular level, a 1 per cent TDS will be charged. Furthermore, receivers will be taxed if they receive virtual digital assets as a gift. The administration had planned to present a measure to regulate cryptocurrencies in Parliament's winter session, but this did not materialise. Furthermore, the RBI stated in July 2021 that it was developing on its own digital money. T Rabi Sankar, RBI deputy

governor, dubbed it Central Bank Digital Money (CBDC) and stated that it will be identical to fiat currency and exchangeable one-to-one. The Reserve Bank of India has previously stated that cryptocurrencies such as BitCoin, Ethereum, and Dogecoin, among others, constitute a threat to financial stability. It has urged investors not to be "lured" by cryptocurrencies' promises of high profits. The recent introduction of a blockchainbased digital currency is intended to result in a more efficient and cost-effective money

The administration had planned to present a measure to regulate cryptocurrencies in Parliament's winter session, but this did not materialise. 52

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management mechanism. "The decision to tax virtual digital assets provides clarity on the road ahead for the whole ecosystem, including investors and exchanges." While the 30 per cent tax on revenue from virtual digital assets is hefty, it is a welcome move since it legitimises crypto and signals a positive attitude toward wider adoption of crypto and NFTs by all stakeholders in the country. From last February to today, the government has changed its perspective on crypto, and we are certain that this will usher in a new age of development and innovation for India in the Web 3.0 world," said Avinash Shekhar, CEO of ZebPay, a crypto company. He went on to say that the RBI's announcement of the launch of a Digital Rupee based on blockchain will familiarise Indians with the benefits and efficiency of virtual currency, as well as build an appetite for cryptocurrency, blockchain, and the plethora of innovations and job opportunities that these technologies can foster. The move to tax digital assets is a positive one, according to Swapnil Pawar, founder of ASQI, a blockchain business, because it eliminates the possibility for uncertainty in tax filing by crypto-investors. "Gift taxes and TDS are also helpful in reducing anonymity misuse in the crypto sector. We think that KYC-compliant transactions in legally recognised tokens are the future of crypto innovation "he stated.

SPECIAL STORY

STARTUPS SHOULD TAKE AWAY THESE KEY POINTS

s the country continues to grapple with the economic problems posed by the epidemic, Finance Minister Nirmala Sitharaman delivered her fourth Union Budget. The Union Budget offers several highlights for India's developing startup environment, ranging from agriculture to defence.

Agriculture The use of 'Kisan Drones' for crop evaluation, digitalization of land data, and pesticide and fertiliser spraying will be encouraged. NABARD will assist the creation of a blended capital fund using the co-investment approach. This is to fund agricultural and rural enterprise companies that are related to the farm product value chain. These businesses' operations will encompass, among other things, FPO assistance, agricultural machinery on a rental basis, and technology, including ITbased support. Skill Development Startups will be encouraged to support

'Drone Shakti' through a variety of apps and Drone-as-a-Service (DrAAS). The needed skills training will begin in chosen ITIs across all states.

MSMEs More than 130 lakh MSMEs have benefited from the Emergency Finance Line Guarantee Scheme (ECLGS), which has given much-needed extra credit. The ECLGS will be prolonged until March 2023, and its guarantee cover will be increased by INR 50,000 crore, bringing the total protection to INR 5 lakh crore, with the extra money going to the hotel and allied businesses.

Mobility that is both clean and sustainable Incentives to be given to use public transportation in metropolitan areas. Clean technology and governance solutions, as well as specific mobility zones with a zerofossil-fuel policy and electric cars, will be added to the mix.

EVs get a boost Due to the lack of space in metropolitan areas for establishing large-scale charging stations, a battery swapping policy and interoperability standards will be developed. The commercial sector will be encouraged to build sustainable and creative 'Battery or Energy as a Service' business models. In Defense of AtmaNirbharta With 25 per cent of the defence R&D budget set aside, businesses, entrepreneurs, and universities will be able to participate. Tax Incentives The number of successful businesses in the country has increased dramatically in recent years. Startups that were formed before 31.3.2022 were eligible for a tax incentive for three years out of ten from the date of incorporation. Due to the Covid epidemic, the period for incorporating a qualifying startup has been extended by one year, until 31.03.2023, to offer a tax advantage.

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he Awardz is an independent award program it is an initiative by Observer Dawn magazine. The Awardz aims to recognize and reward excellence across private, public and charity sectors. Open to organizations of any size and individuals, based anywhere in the world, entries are encouraged from those who feel they are working smarter to create a business edge.

International Business Awards (IBA), The Indian Realty Awards (IRA), and Pride Awards (PA) bring together the most successful and influential visionaries, manufacturers, consumer and business experts and the industry’s powerful decision-makers on one mega platform as a means to Indian Business enlightenment.

Visit www.theawardz.com

SPECIAL STORY

THE FITNESS INDUSTRY IN INDIA

WHAT'S IN STORE FOR THE YEAR?

Virtual fitness services are predicted to thrive in the long term due to characteristics such as convenience, flexibility, and accessibility.

he necessity of maintaining one's physical and emotional well-being was brought home by the virus pandemic. As individuals throughout the country became more aware of their health and immunity, this increased awareness prompted them to regard exercise as an important component of living a better, healthier life. During the prolonged lockdowns, they changed their ideas about exercising in favour of long-term fitness by adding any type of activity into their daily routine. Even individuals who did not commit to a strict exercise regimen stayed fit by doing mini-workouts, yoga, strolling, or running. This shift in the Indian people's thinking and sensitivities is supported by market research. In comparison to the 2019 study, which found that just 26 per cent of Indians practised yoga, 11 per cent did aerobic workouts, and 10 per cent did

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body-weight exercises, the 2020 statistics revealed an almost 60 per cent rise in all three activities. Aside from the growing awareness of the need of maintaining one's health, the pandemic-induced surge of easy and on-demand virtual services has also aided this development. As gym owners and fitness centres moved their operations online, it became easier for Indians to include fitness into their weekly routines. What's the result? During the first shutdown, 84 per cent of Indians attempted online fitness courses at least three times; before the epidemic,

just 29 per cent of the population selected an online exercise module. According to recent surveys, Indian millennials spend around INR 4,000 per month on wellness services and goods. Virtual fitness services are predicted to thrive in the long term due to characteristics such as convenience, flexibility, and accessibility. The future, on the other hand, is hybrid. Modern fitness centres in India are intended to blend the finest of physical and digital modules to provide workout aficionados

Virtual fitness services are predicted to thrive in the long term due to characteristics such as convenience, flexibility, and accessibility

SPECIAL STORY

During the lengthy lockdowns, being indoors and working via screens has been a claustrophobic experience for everyone with better and conveniently accessible experiences. Indians will take their fitness adventures to the next level as a result of this trend. Here are some of the most important trends that will shape the business in the future years.

Mind and body training During the lengthy lockdowns, being indoors and working via screens has been a claustrophobic experience for everyone. People began to include health and wellness activities into their schedules to focus on both physical and mental well-being to combat aggravation and tiredness. Advanced Fitness and health applications have enabled and encouraged this shift in focus. These user-friendly AI-based applications assisted fitness lovers in creating and following individualised fitness regimens, which included dietary plans, HIIT training modules, sleep cycles, and meditation routines, among other things. According to market data, Indians downloaded the most such applications between Q1 and Q2 of 2020, resulting in a 156 per cent rise in downloads. This figure will only rise in the future as more individuals

find time for exercise and wellbeing in their lives.

In-person training will resurface in a big way In-person training is unlikely to be completely supplanted, despite the exponential expansion of virtual fitness. People need the experience of face-toface engagement and coaching that no technology can replicate, even as their emphasis and attention shifts from physical fitness to online health. Since June 2020, market research has seen a resurgence in sales growth at physical gyms. The conclusion is unmistakable. People continue to prefer visiting fitness centres to achieve their fitness objectives. The availability of equipment in gyms, the ability to directly ask fitness specialists for advice, and the delight of working out with other fitness aficionados are some of the reasons for this choice. Not only that, but at-home personal training may become a thing, as those who don't want to go to a gym for personal training may do so at home or a community gym.

Fitness that is virtual and immersive People will use virtual reality (VR) and augmented reality (AR)-based technologies for more immersive fitness experiences in 2022, in addition to tech equipment to boost personal fitness. The debut of Metaverse, a shared virtual world established by Meta Platforms, will help to hasten this breakthrough. Fitness aficionados will be able to engage in a variety of fitness activities such as boxing, dance, meditation, and sword fighting while listening to uplifting music and relaxing environments thanks to the interactive training games. Furthermore, users will be able to organise group fitness training, cycling events, and jogging sessions with pals from all around the globe while exercising in the Metaverse. The fitness business in India is quickly evolving, with revenues estimated to exceed USD32 billion by the end of the year. With a new strain of the virus expected to reach 1.5 lakh cases by February 2022, the usage of digital and virtual fitness services is expected to rise again. These trends will inspire fitness lovers to pursue their objectives from the comfort of their own homes as well as when on the road, ushering in a more customised and immersive future for fitness.

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SPECIAL STORY

THE FUTURE OF EDUCATION IS

BLENDED LEARNING Blended learning, or a well-balanced mix of physical and digital learning, has emerged as the “New Essential.”

ver the last five years, a seismic movement toward digitalization has pushed the future closer. Furthermore, the combination of being homebound and socially isolated as a result of the epidemic forced us to rely on technology more than ever before. Many businesses have adapted quickly to the new normal, but education, which was already trending toward technology, had to speed up its digital adoption, paving the way for blended learning. In these unpredictable times, techenhanced learning solutions will assist in future-proof education, making it more relevant to students of all ages. Blended learning, or a well-balanced mix of physical and digital learning, has emerged as the “New Essential.” It blends the benefits of digital interaction with the effectiveness of traditional teaching techniques to provide students with a stimulating learning

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environment. And, now that the phrase is widely used, it’s time to understand the significance of integrated or blended learning, as well as the path forward.

Experiential learning is becoming increasingly important Experiential learning has progressively supplanted rote learning, based on the underlying idea of ‘Learning by Doing.’ While rote learning is useful for simple ideas and situations where spaced repetition is possible, visual aids make learning complicated concepts relatively easy and eliminate the need to revise topics repeatedly. According to research performed by Practically, students who used the immersive learning strategy increased their retention rate by 18 per cent in less than one week. Parents and children are more aware of the limitations of rote or repetitive learning and are looking for scientifically sound

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approaches to make learning enjoyable and valuable. The new-age technologies also provide an accurate evaluation of a student’s strengths and limitations, allowing students and instructors to connect and interact more deeply.

Blended learning is something that everyone appreciates Long periods spent studying the same subjects or looking blankly at a computer screen or a classroom study board may be exhausting for students and demotivating for teachers. Blended learning may help students and teachers break the ice and breathe life into classrooms more quickly. Math and science, for example, have a reputation for being difficult and dry topics, but blended learning may help all types of learners understand concepts more easily. Schools and colleges must provide inclusive learning opportunities Blended learning is cost-effective and helps students to develop self-learning abilities. Blended learning requires schools to invest in and train instructors to provide a comprehensive learning experience. In addition, rather than relying on the instructor to deliver learning, students should acquire a co-learner mentality. The National Education Policy (NEP 2020) aspires to attain 100 per cent literacy by

internationalising indigenous knowledge through digital course contents. Artificial Intelligence, Machine Learning, Gaming, and Robotics are examples of new-age courses that have opened up great chances for learners to further their careers while staying in line with worldwide standards. Schools have swiftly turned to e-learning to take advantage of the growing number of online registrations as individuals spend more time at home. Because this shift is here to stay, the University Grants Commission (UGC) implemented blended learning at universities and colleges in May 2021 to make the learning experience

Schools have swiftly turned to e-learning to take advantage of the growing number of online registrations as individuals spend more time at home

more engaging and entertaining for students. The digital format will assist the younger generation in skilling, upskilling, and reskilling their talents per industry expectations to stay up with the everevolving technology.

Investing in the Correct Tools and Products While schools and educational institutions recognise the value of integrated learning, selecting the proper product and solution is critical. The goal of digitization is to supplement rather than completely replace the present educational method. It’s critical to choose a cutting-edge solution that provides instructors with an end-to-end academic toolset to help them make their classes more interesting and dynamic. An experiential learning product featuring immersive material, games, simulations, and other features will improve teaching and learning efficiency while also improving learning results. Future-Ready learning Environment To drive innovation through a coherent learning system, blended learning is essential. Instead of seeking to eliminate the classroom culture, the EdTech area should focus on lessening the load on instructors while making classrooms more dynamic, replete with new challenges, quizzes, and simulations. It is critical to establish an atmosphere in which students feel free to participate actively. To be able to reflect on their learning and draw insights from it, students should be involved in their experience. Participants would be able to work together and engage in debate as a result of their digital literacy, speeding forward the dream of a Digital India. 2022 will be an interesting year with its own set of problems, with the education landscape shifting more than ever to new generation learning and teaching solutions. Those who are unwilling to jump on board the blended learning bandwagon may find them well behind the curve.

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SPECIAL STORY

TRENDS SHAPING THE

E-COMMERCE INDUSTRY IN 2022 E-commerce, which began as an experimental and novel way of purchasing, has exploded into a massive sector in recent years, particularly during the pandemic

-commerce, which began as an experimental and novel way of purchasing, has exploded into a massive sector in recent years, particularly during the pandemic. Huge prospects for novel company models are being generated as internet penetration and digitalization rise. India's e-commerce sector is predicted to reach USD 111 billion by 2021 and USD 200 billion by 2026, according to IBEF. Experts have predicted the following developments for the sector in 2022.

Kirana Tech According to statistics, India's 14 million Kirana shops dominate over 90 per cent of the country's USD 600 billion food and grocery sector. "In India's food and grocery business, the Kirana reigns supreme. This was never more evident than during the Covid epidemic when customers and brands alike benefited from the local familiarity, unrivalled closeness, and tenacious spirit of Kirana businesses,"

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said Ashish Jhina, COO and co-founder, Jumbotail. Kiranas have been forced to accept technology by Covid. "By 2021, we expect to see Kiranas all across the country using e-commerce to source their items at a rate never seen before." The rapid expansion of B2B e-commerce platforms, which provide a significantly wider selection, faster and more reliable delivery, better fill rates, working capital financing, and the convenience of ordering online whenever needed, is a significant factor behind this accelerated transformation," he added.

Jhina believes that Kiranas are starting to change into digitally-enabled omnichannel food stores and that this trend will continue in the following year. What effect will the advent of rapid commerce have on Kirana shops, though?

Quick Transactions Quick commerce is predicted to be a USD 30 million business in 2021, according to RedSeer management consultancy, and to increase 15 times to USD 5 billion in 2025. Quick or immediate commerce, like social commerce, has grown in popularity in the aftermath of the epidemic.

By 2021, we expect to see Kiranas all across the country using e-commerce to source their items at a rate never seen before.

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Many Thrasio-based firms have finished their investment rounds and begun acquiring brands, and the acquisition pace might increase up in 2022.

sheet with a heavy debt to grow operations of acquired brands and take over new ones. Alka Goel, a founding partner at Alkemi Growth Capital, feels that the pool of acquirable firms is restricted, which will have one of two effects: either corporation will be obliged to assign a higher valuation (due to increased competition) or acquisitions will be delayed. "Of course, it's a boon for younger firms because they have a lot more exit choices," she added.

Direct-to-Consumer (D2C) Experts predict that 2022 will be a year of development and change for the directto-consumer (D2C) industry, resulting in a heated rivalry. "Over the coming year, the market rivalry is projected to intensify, with an increasing number of businesses choosing for the direct-to-consumer method, which has shifted client expectations." Consumers nowadays demand a seamless postcheckout experience that includes techfirst features like one-step check-out, prefilled addresses, and RTO forecasts, among other areas of the customer journey," stated Saahil Goel, CEO and co-founder of Shiprocket. Ola recently launched a 15-minute grocery delivery service in Bengaluru, Swiggy's InstaMart service delivers in 15-30 minutes, Grofers (now rebranded as Blinkit) has shifted to 10-minute grocery delivery, Dunzo's Xpress Mart promises to deliver in 19 minutes in Bengaluru, and BigBasket has the BB Express, which claims to deliver essentials in 60 minutes. We also have Amazon Fresh, which has extended to several cities this year and claims delivery in 2 hours, and Flipkart's Flipkart Quick service, which promises delivery in 90 minutes. Satvacart and Zepto both recently received money. Will this have an impact on Kirana stores? "Traditional Kirana stores benefit from established ties with local customers as well as a wider range of product categories and SKUs. While Kirana shops' operating overheads remain relatively low, they provide a cushion of sustainability and a very long runway as a competitive armament," stated Padmaja Ruparel, cofounder of Indian Angel Network and founding partner of IAN Fund.

Supply Chain Tech The usage of chatbots and other automated communication technologies in the supply chain is on the rise. "However, it is still a long way from being able to imitate real-life communication. This is where I believe huge language models such as GPT4 or other similar models may be quite useful. Many businesses, particularly those in the logistics industry, can instantly benefit from these models "Shantanu S.

Bhattacharyya, the chief executive officer, remarked. The adoption of blockchain, according to Bhattacharyya, is another trend that is taking on in the e-commerce supply chain. As blockchain use becomes more widespread, a significant amount of regulatory overhead will be eliminated, particularly at cross-border supply chain touchpoints.

Commerce in Rollups Another major development that caught people's attention this year was the growth of Thrasio-style firms, sometimes known as rollup commerce. Many firms in the industry have raised significant amounts of money in a short period. Mensa Brands became the quickest Indian unicorn last month. UpScalio, located in New Delhi, invested for the fourth time in Autofurnish this month, while GlobalBees is apparently in discussions to raise USD 100 million at a unicorn value. MissMalini Entertainment was acquired by the Good Glamm Company earlier this week, making it the firm's sixth addition. "Many Thrasio-based firms have finished their investment rounds and begun acquiring brands, and the acquisition pace might increase up in 2022." The coming year might be a litmus test for investors in this field, as entrepreneurs verify their business concepts on which large sums of money have been raised," said Ankur Bansal, co-founder and director of BlackSoil. By early 2022, he predicts that some of these firms would seek a larger equity round or leverage up their balance

According to Unicommerce's expanding e-commerce segment research, D2C businesses are likely to expand even further into tier-2 and tier-3 cities, necessitating the opening of numerous warehouses to meet demand. "We anticipate to see a lot more innovation in customer interaction models to meet increasing consumer expectations, such as more evolved engagement on mass platforms like WhatsApp, VR/AR led models, live commerce, and so on." Similarly, D2C businesses will increasingly prioritise the post-purchase experience, ensuring that the majority of their goods arrive within 24 hours. According to Kapil Makhija, CEO of Unicommerce, "we anticipate seeing more investment in technology and operations to guarantee D2C businesses can retain the growing pace." He went on to say that D2C businesses would continue to establish niches in terms of product, service, positioning, and other factors to attract customers and compete. India is the ninth-largest e-commerce industry in the world, with sales of USD 46 billion in 2020, and it is expected to expand at a rate of more than 30 per cent YoY, providing a great opportunity for diverse business models to thrive. Furthermore, technology will continue to be the backbone of current businesses and new startups driving the e-commerce revolution, particularly in Tier II, Tier III, and rural areas.

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OUTLOOK 2022

IS INDIA'S D2C MARKET POISED FOR GROWTH IN 2022?

ndia's direct-to-consumer business is booming, and it shows no signs of slowing down anytime soon. While the COVID-19 epidemic caused widespread economic disruptions, particularly for online companies and marketplaces, there has also been a long-term shift in customer behaviour. The pandemic fuelled the D2C sector's fast expansion, but it also changed client expectations. Consumers now demand a smooth post-checkout process that includes tech-first solutions like onestep check-out and pre-filled addresses, among other things, according to RTO. But that's the scenario right now; let's speak about the future, about the potential. According to KPMG statistics, India presently has over 800 direct-to-consumer companies, with the market valued at USD 44.6 billion in 2021 and expected to reach USD 100 billion by 2025. Internet penetration and the pandemic, which has increased customers' reliance on online purchasing, are two reasons that have

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Internet penetration and the pandemic, which has increased customers' reliance on online purchasing, are two reasons that have contributed to this explosive expansion

contributed to this explosive expansion. Despite the recent increase, the direct-toconsumer (D2C) sector is still in its infancy, giving companies plenty of possibilities to experiment with changing market and customer expectations to identify what works best for them and propels them to success. Let's take a closer look.

Untapped Market Several factors are allowing the D2C market to grow. The greater player is the 700 million-strong internet population, which is expanding at a rate of 24 per cent each year. Second, the Covid-19 epidemic has hastened, voluntarily or unwillingly, internet dependency. Another important factor is that online spending in India is predicted to expand at a CAGR of over 35 per cent over the next five years, from USD 39 billion today to USD 200 billion (due to improvements in internet and payment infrastructure). Because D2C is still in its infancy, the scenarios outlined above will be ideal for D2C enterprises to investigate

OUTLOOK 2022

and experiment with the market in order to discover the optimal formula. Despite the fact that macroeconomic variables are in their favour, D2C businesses must face a variety of hurdles in order to flourish in the category.

Personalization To enhance the brand's relationship with the client and so create loyalty, speak to them in a way that they understand or incorporate distinctive components. With data trends and AI dictating customisation, marketers can now better understand their clients and then lure them with customised offers. D2C allows merchants to follow their consumers' activity and understand their motives, while tech solutions create many messages in a matter of seconds, saving both time and money, allowing D2C businesses to personalise their communications now. The Benefits of Omnichannel When you say omnichannel, a seller's face lights up. One platform that collects all of their orders makes inventory management easier, reduces stress and provides realtime forecasting trends. To make a

without having to worry about who will be in charge of them.

One platform that collects all of their orders makes inventory management easier, reduces stress and provides real-time forecasting trends

brand effective, data-driven judgments are combined with manual experience. They can see all of their orders in one place, including those received by email, WhatsApp, SMS, Instagram, Facebook, and other channels. This helps them to expand their sales channels

Combination of data Another trend that will be seen next year is the weaving of data together to address issues. Each online brand has gathered data, however, it is organised by department. For a brand's strategic directions, omnichannel will be revolutionary for all data acquired. One unified layer will portray what people desire in more powerful ways than current trend predictions. Companies will shift from product-first to user-first branding. This will also aid in the detection of crossselling and up-selling possibilities. Optimising Logistics Although the D2C model is profitable, with many businesses embracing it, the sector is characterised by fierce rivalry and comes with its own set of obstacles. One of the most significant issues that D2C companies, particularly small and medium businesses, the face is effective logistics management. The COVID-19 epidemic has unmistakably demonstrated the need for efficient, flawless shipping operations and how they may benefit D2C/e-commerce businesses. D2C firms are increasingly turning to thirdparty logistics platforms for services such as warehouse and inventory management, integrated payment choices, efficient lastmile delivery, and end-to-end fulfilment. With their large pin code reach, an extensive network of professional courier partners, and technology-integrated operations, third-party logistics platforms can efficiently manage end-to-end product fulfilment. While this is not a new idea for D2C businesses, D2C brands will place a greater emphasis on logistics management to drive development potential in 2022, which is predicted to be the true post-pandemic year. After all, a D2C brand's reach and ability to interact with customers through hassle-free, rapid services is one of the keys to its success.

The path that lies ahead The omnichannel and personalisation will be the main areas for the coming year, thanks to the D2C tsunami that is sweeping the country. Companies will concentrate on resolving the problem and improving it. With the epidemic disrupting practically every part of company operations, marketers have been experimenting with different tactics to improve the consumer experience. That said, we can confidently predict that 2022 will be a year of development, evolution, and advancement for D2C businesses in the country and that despite increased competition, a bright future lies ahead.

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BIZ TIPS

WORKPLACE FLEXIBILITY A SHIFT TO NEW RULES IN 2022

uch has been said about the dramatic changes in our working lives over the last two years, which have been guided by a primary concern for health and safety. As we enter the New Year, the pandemic remains a part of our lives; nevertheless, it's safe to assume that most of us have learned or adapted to behaviours that our workplaces or occupations now need. There is more freedom now in terms of selecting when and where to work, and this has given every one of us the option to strike a work-life balance. While there has been plenty of conjecture about how work and offices will evolve in the next year, there is also ample evidence of a trend away from huge office spaces and toward more satellite, decentralised, or flexible workspaces. The transition to a "hybrid workplace" is not just a term, and it will have a greater influence on our everyday lives in the future. The relationship we have with our employers is slowly being changed as technology provides us with different ways of working. So, what does the future workplace look like in 2022?

Hybrid Addressing the issue of "where we work" is perhaps one of the most difficult challenges businesses face. Most companies' attitudes toward centralised workspaces have

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The transition to a "hybrid workplace" is not just a term, and it will have a greater influence on our everyday lives in the future.

BIZ TIPS

shifted dramatically. While there may still be a central office that functions as the headquarters, workplaces have become location agnostic. Work near home has emerged as a prominent trend, partly propelled by flexible workplaces, by offering employees the freedom to work from locations closer to their homes. Flexible workplaces have developed as a partner of choice for small and large organisations alike, with a spread network spanning major sites in different cities. Flexible workspaces are economically feasible because they provide long-term and short-term leasing options, hasslefree, ready-to-move-in arrangements, efficient solutions for legal, IT, and other requirements, high standards of sanitization, and social-distancing norms, allowing businesses to allocate their operational costs to research, development and addressing employee needs as needed. Furthermore, state-of-the-art and techintegrated customizable workspaces, ergonomically designed workstations, and other recreational facilities make them an appealing offer for retaining existing talent, particularly for enterprises/MNCs that place a premium on business continuity and cash conservation. This has fostered the rise of so-called "corporate coworking." In fact, according to a recent Colliers analysis, flexible workspace stock in tier 1 and tier 2 cities is likely to exceed 60 million

Traditional workplaces are typified by rigid areas and densely packed cubicles, where employees may devote up to 8 hours each day to their work.

square feet by 2023, as firms emphasise development through flexibility in a time of great volatility.

Employee-Driven Traditional workplaces are typified by rigid areas and densely packed cubicles, where employees may devote up to 8 hours each day to their work. Employees have acknowledged the need for increased flexibility in 'when to work' and 'how to work' as a result of the epidemic. Maintaining a healthy work-life balance has become more

important in order to minimise burnout, boost productivity, and improve general well-being. Flexi work hours rostered shifts and timings and providing a dynamic space that allows for an unrestricted exchange of ideas in the way it is designed and set up are all important in meeting the demands of the workforce that is ready to return to work. Flexible workplaces are designed to adapt to changing behaviours in a proactive manner. They are more adaptable and elastic in providing individuals and teams with a workspace that can be customised to suit their work styles, including a mix of flexible and fixed desks, comfortable conference rooms, sleek private offices, built-in day beds, art-filled lounges, cafes, pantries, and wellness rooms or crèches to meet parental needs. Furthermore, by working from locations close to home, employees may save time and money on community activities, helping them to achieve a better work-life balance.

Social Collaboration, learning, and the need to be a part of a community and interact with others are more prevalent than ever before, particularly among the new generation of employees, which includes startups, entrepreneurs, freelancers, and millennials. The increasing isolation during pandemics and work-from-home has necessitated the necessity for the workplace to act as a centre that encourages an interchange of ideas and fosters creativity via learning, bonding, and culturally varied relationships. Flexible workspaces encourage possibilities for such persons to mingle and network with professionals from many industries, either in person or through virtual initiatives, to optimise their offer, through communitybuilding activities. Weekly learning and development activities, which take into account member health, safety, and social distance standards, promote a lively and appealing culture and encourage increased engagement between employees. As a consequence, companies and startups may make greater use of these spaces to boost employee satisfaction and productivity. The workplace of 2022 is dependent on the workforce's flexibility, health, and well-being, and is a critical component of company continuity. Flexible workplaces transform traditional office space into a more dynamic, cultural hub that aids firms in achieving these objectives in a cost-effective, efficient, and hasslefree manner. Furthermore, the rising gig economy and startup environment in tier 1 and tier 2 cities, as well as MNCs seeking hybrid solutions, have boosted the value and potential for flexible workplaces, positioning them as the most feasible partner for longterm growth plans.

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BIZ TIPS

WHAT ARTIFICIAL INTELLIGENCE IS DOING TO

BUSINESS CREATIVITY

any people still identify artificial intelligence (AI) with sciencefiction dystopias, despite constantly changing technology. In actuality, though, AI has become an inseparable part of our life. We increasingly rely on search engine algorithms and digital assistants like Alexa and Siri for practically everything, from calling a cab to calculating the number of calories in a 10-inch Margherita pizza. This technology's promise extends beyond its application in the home. In the commercial realm, AI is making significant progress, and creativity may be its ultimate moonshot. Around 200 years ago, experts believed that robots could not generate anything new and could only perform jobs based on pre-programmed instructions. However, we've lately witnessed AI produce creative art, music, and poetry. Naturally, artificial intelligence has progressed to the point that it can develop ideas, thoughts, or preliminary draughts on its own. However, just because artificial intelligence has this capability does not mean it can take the place of human creativity. It isn't quite that advanced yet. Instead, it is a tool that people may use to boost their creative abilities. To optimise creative production in any discipline, a mix of both aspects is required. We've already discussed how AI algorithms are being used by artists to make poems

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Around 200 years ago, experts believed that robots could not generate anything new and could only perform jobs based on pre-programmed instructions. However, we've lately witnessed AI produce creative art, music, and poetry.

and artworks. But what about CEOs in the corporate world? How are they using technology to uncover novel solutions and possibilities in the face of adversity? AI is proven to be a game-changing tool in every industry, revolutionising how employees and consumers engage with firms and conduct everyday operations. In the last four years, AI usage in the commercial

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domain has expanded by 270 per cent, and we can only expect further general acceptance in the next years. Let's take a deeper look at how artificial intelligence is altering corporate innovation.

Hiring HR managers are inundated with resumes and applications as the future of work shifts toward digital and remote labour. They no longer have to spend many hours sifting through a big application pool, thanks to powerful AI algorithms. This clever programme sifts through resumes and job applications to identify applicants who are deserving of an interview. AI may shorten the recruiting process by hours or even days, depending on the number of applications a firm receives. Another notable advantage of having a more intelligent, data-driven approach is the propensity to reduce implicit bias-based employment discrimination. Although prejudice is a human feature, robots are unbiased. Recruiters and hiring managers may access prospects equally and make more rewarding recruiting selections after prejudices are removed.

Marketing Marketers nowadays are constantly looking for innovative methods to attract and engage potential consumers. Getting a regular stream of new clients, however, can be difficult in the fast-paced and ever-changing digital marketing industry.

The corporate environment is always changing, and so is client behaviour. Managing extreme transformations can be difficult, but it doesn't have to be when you have AI on your side.

Marketers' capacity to create highly tailored, relevant purchase experiences is increasingly critical to attaining maximum marketing success. That's where artificial intelligence enters the picture. Marketers may acquire a better knowledge of their target customers by incorporating artificial intelligence into their digital marketing strategy. What are their methods for accomplishing this? Consider the fact that robots can recognise patterns such as prior purchasing history, purchasing preferences, credit ratings, and other similar threads in a matter of seconds. Marketers may design and implement creative marketing campaigns with more precision thanks to the insights gained via this approach.

Analytical and research Businesses can now take customer experience to the next level thanks to artificial intelligence and consumer analytics. With individuals spending more time on their smartphones, mobile-friendly surveys appear to be the most effective method of data collecting. But this research strategy has another drawback: how do you link people to the correct surveys at the right time? AI, on the other hand, takes care of it for you. Market research may customise market surveys more efficiently by offering the

appropriate questions when the audience is most available and responsive using MLtrained recommendation models. What's next once you've gathered information? You'll discover that not every response from a large number of submissions is crucial to the campaign. Once again, AI comes to the rescue. It is far more efficient than humans in analysing large amounts of data. It also filters responses that do not meet the research's requirements.

Customer service and customer interactions Buyers today are accustomed to communicating with chatbots. After all, why wouldn't they? Chatbots are adept at simulating human discussions using voice commands and text dialogues. Even while this technology isn't perfect at resolving client problems, it does make customer service more efficient. In many cases, businesses mix AI with human innovation, transferring difficulties beyond the bot's capabilities to a human agent. Artificial intelligence's capacity to target individual clients and respond to their specific characteristics makes it better in the customer-service sector. Giving clients a more customised experience increases brand loyalty and keeps the business thriving.

Cybersecurity According to IBM research, human error is the leading cause of 95 per cent of cybersecurity breaches. As a result, it's easy to understand AI's enormous promise in cybersecurity. AI systems may screen out malware or phishing links before they reach the eyes of an unwary user if they are properly harnessed. This technology is already being used by cybersecurity specialists to discover new forms of malware and secure important data for businesses. The benefit of incorporating AI systems into a cybersecurity plan is that they learn as they analyse more data, allowing them to improve their skills as they gain more experience. The corporate environment is always changing, and so is client behaviour. Managing extreme transformations can be difficult, but it doesn't have to be when you have AI on your side. AI has been used by several SMEs and startups to gain market share and create their brands. AI in business will soon become a need rather than a luxury. Companies that fail to meet the expectations of their customers will lag and lose market share. Adopting the trend is the only way to stay relevant.

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BIZ TIPS

GETTING THE MOST OUT OF EVERY OUTREACH TYPE

he importance of outreach in business cannot be overstated. Every editor or business owner has received some type of outreach email. Even though certain aspects of outreach have been automated, manual outreach is still required. Here's how you can boost your outreach in each of these areas.

Sales It's critical to reach out to the person who makes the decisions. It's easy to waste a lot of time pitching someone who doesn't have any decision-making authority. There are several relationships in which a person may require ultimate approval of major actions. Email may be used to identify a potential customer's pain points. When you pitch only what a client or customer needs rather than services or items that they don't, closing a deal is much easier. Upselling is one thing, but pressuring customers to spend more money might backfire. Including a questionnaire in a sales email may appear arrogant, so save it till after you've established contact. The quiz might help you fine-tune your pitch by making a potential consumer feel important. Generic pitches are something that everyone can see which does not inspire trust in a sales prospect.

Public relations on social media While Facebook accounts for businesses are useful for sales marketing, utilising the network to message someone on a personal account is a big no-no. Use the platform to promote content and create revenue through adverts, but not for direct outreach. It's even too much to ask for contact information because most top sales experts can locate the contact information of almost anyone. Twitter is a great way to establish rapport and gain confidence in sending an outreach email or message. Creating a rapport here will provide considerably greater outcomes than making a random pitch. Instagram may be used to establish relationships with other consumers and companies. Sending out sales notifications can result in a few purchases, but it might also result in you being unfollowed because some people despise being spammed.

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BIZ TIPS

Depending on the degree of influencer you're aiming to reach, reaching out to them might be difficult. Because of their image and other brands or corporate affiliations, most influencers will be quite picky about the companies they collaborate with.

Avoid sending automated LinkedIn messages, since this will quickly turn off a potential customer. Because these outreach communications are so basic, it's simple to distinguish between genuine messages and sales/partnership possibilities. LinkedIn may be a fantastic tool for managing and generating sales. Being able to contact someone directly enables you to ensure that any email you send does not wind up in a spam bin. Finding former coworkers is usually a good idea because they may use the services that a business offers. People prefer to collaborate with people who understand their job quality over people or companies about whom they know very little.

Marketing Depending on the degree of influencer you're aiming to reach, reaching out to them might be difficult. Because of their image and other brands or corporate affiliations, most influencers will be quite picky about the companies they collaborate with. A corporation can contact an influencer or their representative by looking at their social media presence.

Because the proper influencers receive a lot of outreach letters, it's important to stand out. To build rapport through email, conduct some research about the recipient so that you may offer something personal. In terms of ROI for businesses, mediumsized influencers have been demonstrated to convert more. For a variety of reasons, larger influencers may not enjoy the full trust of their followers. Emails of outreach that creates rapport can even lead to a marketing campaign with a discount. Influencers may not have defined fees and choose to collaborate with cool businesses or individuals they admire. It will take time and a flurry of emails to establish this connection, but it will be worthwhile. It's worth noting that stroking one's ego throughout this process may work wonders, especially if the nice statement necessitated becoming a fan or conducting a considerable study.

Publicity for publishers Content marketing is an excellent strategy to increase a company's backlinks. To stand out while using the correct outreach

strategies for content marketing, you'll need a strong pitch. Even something as basic as a photograph of your dog can suffice. A/B testing will always be necessary for outreach to identify what works and what strategies need to be changed. Even the gender of the person making the outreach can make a difference. Certain industries are more responsive to males, while others are more responsive to women. If you're selling a compelling narrative, reaching out to publishers is quite simple. Most newspapers' editors adore outside material since it relieves them of copywriting duties. Asking an editor what kind of material they'd want to see might result in an article assignment. Even if it's simply in your author bio, a hyperlink to the website will be simple to obtain. It's critical to know the distinction between black hat and white hat approaches while undertaking outreach. The last thing you want is a Google website penalty as a result of a content marketing effort. Tools like BuzzStream, which may be used for the publisher or author outreach, can be quite beneficial. These technologies aid in the collection of contact information and allow users to browse websites by topic. Reaching the proper individual with a content marketing outreach email is only half of the game; the other half is the email's content.

PR PR outreach can be done in a broad or specific manner. It will be almost hard to get a local news publication to cover a firm without some form of angle. Because nothing proposed provides value to their newspaper, the outreach email will most likely go directly to the advertising department. Local businesses' green initiatives or health programmes are regularly emphasised. Not only can this exposure help sales, but it may also improve the quality of applicants who come in for an interview by demonstrating a solid work-life balance. Another PR possibility is to sponsor an event and send out an email about it. Companies that are regularly featured in local print and online magazines are those that give back to the community.

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TECH

USER EXPERIENCE TRENDS

WAY TO THE FUTURE We have entered another year with new COVID versions, social distancing restrictions, and continuously changing work from home laws. We can't help but wonder what UX (user experience) trends will look like in 2022. Designers throughout the world have had a rare chance to come up with novel items and revamp current ones now that they have more time to reflect at home. Let's realign ourselves this year and figure out who we are as designers and what makes us tick. For this year's trends, we've compiled a list of both old and emerging characteristics that we feel will be the most important UX trends in 2022.

1. PASSWORDLESS LOGIN

ith the average user using at least 30 applications every month, remembering all of their passwords might be difficult. A password is sometimes required to have a mix of numbers, special characters, and letters, making it more difficult to remember. And when we do forget, it's quite inconvenient since we have to go through the entire "lost password" procedure. A shift to "passwordless" logins is a straightforward approach. Logging in using your Google account, social network accounts, fingerprints, iris scans, or phone unlock patterns that are only a few taps away works like a charm! Microsoft is an example of a company that has made strenuous efforts to eliminate passwords. Microsoft's Windows 10 Version 2004 featured a biometric sign-in mechanism dubbed "Windows 10 Hello." Users may now log in with their fingerprints, iris scans, face scans, or patterns. Biometric authentication is one technology that

2. SCROLLYTELLING

may embrace a security-first strategy for both the enterprises and the customers, thereby boosting User Experience tremendously. People's identities have been given to them without the fear of being impersonated thanks to the potential biometric authentication business.

crolling is a thing of the past; applications and websites are quickly adopting the concept of 'scrollytelling.' The user watches each piece on the page come to life through microinteractions and imaginative narrative while scrolling down in this experience.

There are no pop-ups, no clicks, and no options to choose from. Users no longer want to see a long page full of data; they want to be a part of the story, similar to how they would in a video game. Scrollytelling does this by allowing consumers to engage in a more immersive experience. This interaction necessitates designers to consider not simply great graphics, but also the tale we want to tell, its plot, and the people we're presenting it to.

3. AIR GESTURE CONTROL

ir Gesture Control is a touchless system that lets users control their gadgets using their bodies and air movements.

Waving, pinching, opening the palms, sliding, and swiping are all examples of actions that can be initiated. A user displaying

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their palms to their phones to access the front-facing camera and take a selfie is an example of this. The Google Pixel 4 is equipped with motion-sensing radar, making it a one-ofa-kind smartphone that allows for many of these touchless interactions. Air gesture control will be implemented across the board in 2022, as touchless interactions continue to gain hold in the aftermath of the Covid-19 pandemic's blitz of new strains.

TECH

4. MATERIAL DESIGN FOR LARGER SCREENS

ecause consumers are spending more time on their smartphones than ever before, screen sizes have exploded. To meet these new demands, companies like Google have begun to alter and improve their design methods. This will have a ripple effect throughout the industry, with competitors rushing to join the party to compete with Material Design-based applications. Because of the growing popularity of foldable and tablets, there will be more designs available for all form factors, as well as the layout and component-based responsiveness across devices. We all know that design concerns for mobile and

web are different. 2022 might be the year that ushers in a new era of synchronised design across all screen sizes.

5. ADVANCED PERSONALISATION

dvanced customization takes the use of emotional and sensory design to fine-tune technology to every need and wish of an individual user.

For designers and companies alike, personalised UX is a tremendous tool - we've all seen it in our Netflix feeds, the sorts of advertising we see on Instagram or the similar goods that show while shopping on Amazon. Users are more likely to convert when they see customised alternatives, not merely from a user experience aspect. Personalization may make all the difference in the items we choose to welcome into our lives in a world where we're bombarded with choices every time we open a gadget or visit a website.

6. ARTIFICIAL INTELLIGENCE (AI)

rtificial intelligence (AI) is a term that refers to any intelligence manifested by computers or computerised systems. AI has a lot of potential in UX design, especially in subspecialties like user research and information architecture. AI can be readily designed to generate vast numbers of wireframes based on our specifications and web-based best practices. This would speed up the design process and allow us to deploy solutions faster. While AI has a bright future, it's important to remember that every AI was designed by a human, which means it's not necessarily perfect or without defects. Designers must discover a solution to get rid of these possible biases.

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INDUSTRY OUTLOOK

DEVELOP THESE HABITS FOR

ENHANCED PRODUCTIVITY and achieving your objectives. You should even keep track of your achievements, no matter how minor, to keep you motivated to keep going. You may also monitor the progress of your larger goals in your notebook, as well as the little actions you can complete to reach them. This method will assist you in reflecting and has been shown to improve memory and brain function.

roductive individuals have one thing in common: a stable routine made up of minor habits that help them maintain a positive mentality and way of life. It didn't take long for many successful people to implement these practices into their daily routine. According to studies, it takes around 21 days for a habit to become regular behaviour. So, to become more productive, here are some habits you may want to start doing.

Create a morning ritual Getting up at the same time every day, especially on weekends, is the most effective way to stay productive. This aids in the maintenance of your body's biorhythm. Your body and mind will realise it's time to start your day's work if you execute tiny, habitual actions like opening your blinds as soon as you wake up. Before getting dressed, you should stretch for a few minutes and then make your bed. These may appear to be little jobs, but they serve as a foundation for staying productive throughout the day.

Take a breather Whatever you're doing doesn't have to take up every ounce of your energy. Take a break every day at the same time, even if it's only for 10 minutes. You'll be more productive than if you merely rushed through since you'll be clear-headed and cheerful.

Making a daily priority list can help you remain on target. Some individuals prefer to compose their to-do lists first thing in the morning, while others prefer to do it each night before going to bed

Make to-do lists daily Making a daily priority list can help you remain on target. Some individuals prefer to compose their to-do lists first thing in the morning, while others prefer to do it each night before going to bed. In any case, it will assist you in staying on track and effectively managing your time and responsibilities.

your day to respond to emails and organise meetings helps save you from being overwhelmed. Take 10 minutes at the end of the day to sort emails into categories like To-Do or Hold for Now, and make sure your inbox is empty. This will assist you in maintaining a good work-life balance during a period when the borders between the two can easily blur.

Staring at your bulging email might be one of the most frustrating aspects of your workday. Setting up a regular period in

Keep a diary Writing down and arranging your thoughts might assist you in keeping track of

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Spend 15 to 20 minutes per day learning something new. Watching a video, listening to a podcast, reading an article or chapter in a book, or learning a new skill or language are all examples. You don't have to become an expert on anything immediately, or even at all, but it will keep your mind alert.

Clean up and prepare for the next day The last thing most of us want to do after a hard day is clean. Cleaning up your house and preparing for tomorrow, on the other hand, might help you avoid stress. This kind of everyday maintenance can help you avoid having to spend an entire afternoon cleaning on the weekend, for example, after forgetting to do so during the week. Cleaning countertops, doing laundry, and setting out clothing for the next day might help you feel more prepared for the day ahead. Maintain a nightly routine A nighttime routine, like waking up, is essential. Set a timer to begin the process of slowing down. Shower, read a book, watch a relaxing show, or listen to soothing music—do whatever it takes to unwind for the evening. Reduce the temperature and use soft lighting an hour before bedtime to help you get a good night's sleep. These modest chores will not revolutionise your life overnight, but they will help you improve your productivity, memory, and general physical and mental health over time.

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