Financebyanmol

*Trump Imposes 50% Tariff on EU* 🇺🇸❌🇪🇺 One of the closest allies of the US now could be facing 50%, Trump has issued a stark warning to the EU, _*threatening to impose a sweeping 50% tariff on all EU imports*_ to the US, effective June 1. 🚨🤷‍♂️ Trump stated that trade discussions with Brussels were _*"going nowhere!"*_ and accused the EU of being formed "for the primary purpose of taking advantage of the United States on TRADE." He even cited " _*powerful Trade Barriers, Vat Taxes, ridiculous Corporate Penalties, Non-Monetary Trade Barriers, Monetary Manipulations, unfair and unjustified lawsuits against American companies,"*_ and a significant trade deficit with the US as reasons for his proposed action. 😳❌ Separately, Trump also issued a warning to Apple, stating the tech giant would face a 25% tariff _*unless it moves all iPhone manufacturing to the US*_. This comes amidst reports of Apple expanding its supply chain in India. 🇺🇸🤡 _Imagine a president of the country having to dictate terms on trade and manufacturing for a company born in the US, unreal._

*Big Pay Day* 💰😳💪 RBI has announced a _*record dividend payout of ₹2.69 lakh crore*_ to the central government for FY25. This marks the _*highest-ever surplus transfer from the central bank*_ to the government, significantly exceeding the previous year's record of ₹2.1 lakh crore and the government's budgeted estimate. 😳💰 This windfall will provide the govt with ample fiscal space, utilised for various purposes such as _*increased capex and reducing borrowings*_. The Union Budget had projected a dividend income of ₹2.56 lakh crore from the RBI and other public sector financial institutions, and now we see the _*RBI alone has beaten the estimates*_. ✅ _The framework suggests maintaining a Contingent Risk Buffer (CRB) between 5.5% to 6.5% of the RBI's balance sheet._

*Trump Delays EU Tariffs (Again)* 🇪🇺🤷‍♂️😅 Trump has extended the deadline for imposing a 50% tariff on EU goods from June 1 to July 9. 🇪🇺🤦‍♂️ This decision came after a _*"very nice call"*_ with European Commission President Ursula von der Leyen, who _*requested more time for serious negotiations*_. Trump had previously threatened the steep tariffs, citing frustration with the pace of trade talks with the EU. 🚨🗣️ _*The EU has proposed a "zero for zero" deal*_, which would remove tariffs on industrial goods, including automobiles, but the US administration has indicated it _*will not lower tariffs below a 10% baseline*_. Existing US tariffs of 25% on steel and aluminium from the EU also remain in place. 📝👀

*India Overtakes Japan - What Now?* ✅🇮🇳💪 NITI Aayog CEO BVR Subrahmanyam officially confirmed that _*India is currently a "$4 trillion economy" and is now larger than Japan*_. This places India behind only the US, China, and Germany in terms of nominal GDP. 📊💪 The IMF anticipated India's nominal GDP for FY26 to reach approx $4.187 trillion, _*slightly exceeding Japan's estimated $4.186 trillion*_ for calendar year 2025. 👀 So if it hasn't happened already, it will be true within FY26, and further projections show that India's GDP is expected to reach $4.601 trillion in FY27, widening the gap with Japan. 🇮🇳🚨 This definitely is a moment to be proud about, but it is also true that per capita income still shows a considerable gap. _*India's per capita income is estimated at around $2,880*_, significantly lower than _*Japan's $34,000*_. 💰❌ _For everyone to feel the economic growth, this metric should improve_ Did a fun calculation on how much time it will take India to overtake the remaining countries. 👀💰 - _*For India to surpass Germany, it would take approx 2.2 years from 2025*_ This aligns very closely with the IMF's projections that India would surpass Germany by 2028. 🇩🇪 - _*For India to surpass China, it would take approx 73.6 years from 2025*_. This would mean _*India would surpass China around 2098-2099*_ if these exact growth rates were to hold for over 7 decades. The number is big mainly because China itself grows at 4%, which is big. 🇨🇳 - _*For India to surpass China, it would take approx 47.1 years*_. This would mean India would surpass the US around 2072-2073. 🇺🇸

_*Bitcoin has exceeded $110,000 for the first time*_ and the traders are growing more and more optimistic about the crypto's future. ✅📈 Bitcoin is seeing a surge mainly due to the progress of the _*stablecoin bill in the US Senate*_, which has raised hopes for clearer regulations for cryptocurrency businesses. 💰🤝 _The US is taking actual steps to tap into the crypto opportunity_

*World Record For LIC* 🌏👀😅 LIC has officially secured a Guinness World Record for achieving the _*"Most Life Insurance Policies Sold in 24 Hours."*_. This took place on January 20, 2025, when LIC successfully _*sold an astounding 588,107 life insurance policies across the nation*_. 😳🇮🇳 This was the result of a special nationwide campaign named _*"Mad Million Day"*_, and the response was overwhelming, with _*452,839 LIC agents participating*_ in this coordinated effort. 💰📊

*India's FDI Jump* ✅💰🇮🇳 India experienced a robust surge in FDI during FY25, _*attracting a gross inflow of $81.04 billion*_. This marks a significant 14% YoY increase, representing the highest FDI in 3 years. 💰 A substantial portion of this inflow came from _*equity investments, which climbed 13% to reach $50 billion*_. However, the momentum softened in Q4, witnessing a 24.5% dip in FDI to $9.34 billion, prompting a note of caution. 👀 Domestically, _*Maharashtra emerged as the top recipient state with $19.6 billion in FDI, closely followed by Karnataka and Delhi*_. Key sectors that saw heightened interest included _*services, automobile, telecom, and renewable energy*_. In contrast, sectors like software, infrastructure, and pharmaceuticals experienced a decline in FDI. 📊📝

*Jio Mutual Fund?* 👀💰📝 JioBlackRock has received final regulatory approval from SEBI to _*commence its mutual fund operations*_ in India. 🚨💰 The entity is a 50:50 partnership between Jio Financial Services and BlackRock, the collaboration aims to _*leverage JFSL's robust digital infrastructure and local market knowledge*_ with BlackRock's global investment prowess and risk management technology 👀💪 Sid Swaminathan, who brings over 20 years of asset management experience, has been appointed as the Managing Director and CEO of JioBlackRock Asset Management. _*He previously served as Head of International Index Equity at BlackRock*_, managing a substantial AUM of $1.25 trillion. 😳 _No such timeline on the product launches but we can expect things to move fast now_

*KTM Turns Indian* 🏍️🛣️💰 Bajaj Auto, through its wholly-owned Netherlands-based subsidiary Bajaj Auto International Holdings BV (BAIHBV), is _*poised to become the majority owner of Austrian motorcycle manufacturer KTM AG*_. 💰 Bajaj Auto first acquired a 14.5% stake in KTM in 2007, gradually increasing it over the years. By 2013, Bajaj held approximately 48% of KTM. _*In 2021, Bajaj restructured its holdings, swapping a 46.5% stake in KTM AG for a 49.9% stake in PTW Holding AG*_, the parent company of KTM Group (which includes KTM, Husqvarna, and GasGas). 🏍️🤝 And now, as KTM navigates a critical financial restructuring process, Bajaj has arranged a _*€800 million (approx ₹7,200 crore) debt funding package to support KTM's revival*_, which includes settling creditor obligations and infusing fresh capital into the company. ✅ From the €800 million debt funding, _*BAIHBV has secured a €566 million unsecured loan from financial institutions*_ including JP Morgan Chase Bank NA, DBS Bank Ltd, and Citigroup Global Markets Asia. 😳 Now by taking control of KTM, _*Bajaj Auto significantly strengthens its position in the premium and sports motorcycle segment globally*_, expanding its international footprint and access to advanced motorcycle technology. 💪🌐

*Moody's On India's Position and Tariff Resilience* 🇮🇳💪💰 Moody's Ratings has released a new report highlighting _*India's strong position to withstand the negative effects of US tariffs and global trade disruptions*_ 👀 Let's uncover. 🔎 Despite the potential negative impact of these tariffs on global growth, Moody's projects that _*India will maintain its position as the fastest-growing major economy*_. Though they have revised India's growth forecast for 2025 to _*6.3% from the earlier 6.7%*_. 📈📉 _While this represents a downward revision, the projected growth rate still outpaces all other G20 economies._ A key structural advantage for India lies in its _*low dependence on exports*_, particularly goods exports, especially when compared to other emerging markets in the Asia-Pacific region, significantly limits the potential effects of tariffs on its overall growth. _*India's limited reliance on the trade of goods, coupled with its robust service sector, acts as a substantial mitigant against US tariffs*_. 🚢📦 Moody's Analytics specifically identified _*gems & jewellery, medical devices, and textiles as industries expected to be among the worst hit*_ by potential US tariffs. 💎 Moody's assessment also extends to geopolitical considerations, particularly focusing on the recent tensions between India and Pakistan. They concluded that these tensions _*would weigh more heavily on Pakistan's growth than on India's*_. 🤷‍♂️🇮🇳✅ _Moody's basically gave us a recap on things we've been tracking closely already, but these favourable reports will weigh in to benefit India on a global stage for better global opportunities_ 🌐💰