All you need to start your day informed in under 6 mins
Good Morning 🇮🇳
In India’s holy trinity of careers—doctor, IAS, or engineer—when NEET said “no” and UPSC said “maybe later,” Rithuparna hit the engineering panic button like many others. Fast forward to today, at just 20 years old, she’s the youngest girl working at the Rolls-Royce Jet Engine Manufacturing Division with a stellar Rs 72-lakh p.a. package. Turns out, failing Plan A and B can sometimes get you the dream C(areer). Who knew “settling” for engineering could launch you right into the jet stream?
Now, let’s get into the dispatch! 🚀
Today’s reading time is 5.5 mins.
MARKETS 🔔🐂🐻
As of Indian market close on July 18
The Indian stock market experienced a sharp decline on Friday, with the Sensex and Nifty 50 falling as foreign institutional investors became net sellers amid global uncertainties.
Rural Economy
Rural demand powers consumption surge
Image credits: akrspindia.org.in
According to a report by PL Capital, the revival of rural demand is set to drive recovery across key sectors such as fast-moving consumer goods (FMCG), consumer durables, automobiles, mobile phones, housing, and apparel. Notably, rural demand has outpaced urban demand for the past few quarters, signalling a shift in consumption dynamics.
What’s fuelling this growth? Rising rural incomes, driven by favourable monsoons and improved agricultural output, are at the core of this upswing. With expectations of a strong Rabi harvest thanks to good monsoons and ample water reserves, rural income levels are expected to climb further and translate into higher spending power.
The bigger picture: This boost in income is leading to higher consumption, not just of daily essentials like FMCG goods, but also higher-value items such as two-wheelers, entry-level cars, and smartphones. Recent tax relief measures and upcoming festive demand could further accelerate rural spending, making it a critical growth engine for India’s consumption economy.
The road ahead: As rural wallets grow heavier, so does their impact on the economy. For brands and policymakers alike, tapping into this market could help unlock sustainable, high-volume growth and build deeper economic resilience.
Bank
Shift in Lending: Private Banks Lose Ground
Image credits: Marketwatch
A recent JM Financial report reveals a shifting landscape in India’s financial ecosystem as private banks are steadily losing market share, while public sector banks (PSBs) and non-banking financial companies (NBFCs) are gaining ground.
The data shows PSBs increased their share of loan disbursements to 43% in FY25, up from 37% the previous year. In contrast, private banks slipped to 30% in FY25, down from 37% in FY24. Meanwhile, NBFCs also made gains, capturing just over 30% of the share by focusing primarily on small-ticket personal loans.
What’s driving this change? PSBs have doubled down on high-ticket secured lending such as home and auto loans, while private banks are leaning heavily into unsecured segments like personal loans and credit cards—now making up 70% of new credit card issued. NBFCs continue to serve borrowers underserved by traditional banks, particularly in the low-to-mid income segments. There are also rising concerns over asset quality, particularly in the unsecured space, as delinquencies (borrowers missing their loan payments) inch upward.
Going forward, the real challenge for private lenders will be balancing growth and risk appetite, while public banks and NBFCs appear set to consolidate their comeback. Overall loan growth is expected to moderate in FY26, with NBFCs likely to outpace banks but facing increased scrutiny over loan quality.
BUSINESS INDIA: Dhanda Hai Yeh!
FM Global’s Bengaluru leap: FM Global, one of the world’s largest commercial property insurer, is opening its largest office outside of the US in Bengaluru. This innovation hub will focus on data science, AI, and risk engineering.
RBI repo rate cut: ICICI Bank predicts the RBI may cut the repo rate by another 25 bps in August, taking the terminal rate cut to 5.25%. The forecast cites factors such as mixed domestic growth, lower inflation, global uncertainty, volatile oil, and U.S. economic factors.
Tata Power's storage deal: Tata Power secured its first battery energy storage deal with NHPC for a 30 MW/120 MWh system at the 220 kV substation for Kerala State Electricity Board Ltd. This project aims to boost grid flexibility and renewable integration.
SBI takes the crown: Global Finance magazine named State Bank of India the "World's Best Consumer Bank for 2025," recognising its customer focus and digital transformation.
China FDI investment proposal: NITI Aayog has proposed easing investment rules for Chinese firms, allowing them up to 24% stake in Indian companies without prior approval, aiming to boost India's FDI. Currently, all investment by Chinese entities in Indian companies requires clearance from both the home and foreign ministries.
India-France jet deal: India is pushing for a collaboration with France for a ₹61,000 crore project to jointly create a 120kn next-gen fighter jet engine, aiming for self-reliance in defence technology.
WORLD: KYA CHAL RAHA HAI? 🌏
Rare Earth Smuggling: China's spy agency claims foreign agents are smuggling rare earth minerals amid the rare earth crisis, using tactics like disguising them in ceramic tiles and mislabelling items as machine parts. China is urging citizens to report suspicious activity to combat this national security threat.
Refugee aid crisis: A UN agency warns that over 11 million refugees may lose access to aid due to significant funding cuts from donor nations. This could create a "deadly cocktail" of forced displacement and declining humanitarian support.
Pakistan's budget squeeze: Pakistan faces over $23 billion in external debt repayments during the current fiscal year. While $12 billion of this debt is owed to friendly nations where they can expect some extensions, they must still manage repayments of $11 billion which will severely burden their annual budget.
India claps back at NATO: India has pushed back against NATO’s warning of secondary sanctions over its continued trade with Russian oil, asserting that its energy procurement is based on national interest and has accused NATO of “double standards.”
China’s green energy charge: China leads the world in green energy, having installed more wind turbines and solar panels in 2024 than all other nations combined. This achievement stems from strategic state planning and massive investments, including a remarkable $940 billion investment in 2024.
Aur Batao: News from across India 📰
Defence dosti with Fiji: India and Fiji just held their first-ever Joint Working Group meeting in Suva, focusing on training, capacity building, and deepening defence ties. This builds on the 2024 MoU for digital cooperation and expands tech and innovation collaboration between the two countries.
Nistar, India’s maritime launch: India has commissioned Nistar, its first indigenously built Diving Support Vessel, reviving the iconic 1971 ship that detected Pakistan’s sunken Ghazi. Now 10,500 tonnes and 120m long, it features advanced diving and submarine rescue systems. Nistar boosts India’s maritime strength and global submarine rescue leadership.
Adoption gap grows: Despite 36,381 prospective parents in 2025, only 2,652 children are legally free for adoption, just 1 for every 13 waiting parents. Over 22,000 children remain in institutions, often stuck in legal grey zones, with Maharashtra, West Bengal, Tamil Nadu and Karnataka combined accounting for over half of the prospective parents.
Advanced cancer diagnostics: Homi Bhabha Cancer Hospital, Mohali, now offers DNA & RNA-based Next-Generation Sequencing (NGS) for advanced cancer diagnosis and personalised treatment. This technology helps pinpoint mutations, track recurrence, and tailor treatments. It is a big leap for solid tumour & blood cancer treatment in India.
Justice Varma appeals: Ex-Delhi HC judge Yashwant Varma, facing impeachment after cash was found at his official residence, has moved the Supreme Court. He’s questioned the Chief Justice of India’s power to recommend his removal and challenged the inquiry panel's findings.
Sports and Entertainment
Wrestling glory for India: Indian wrestler Sujeet Kalkal clinched gold in men's 65kg freestyle at the Polyak Imre & Varga Janos Memorial 2025. He defeated four-time European Champion, Ali Rahimzade, 5-1 in the final.
Footballing icon Aditi Chauhan retires: Aditi Chauhan, the pioneering goalkeeper of the Indian women’s football team, has retired at 32 after a storied 17-year career. She earned 57 caps, won three SAFF titles and two South Asian Games golds, and was the first Indian woman to play club football in Europe with West Ham United. An absolute legend for us🫡
Hockey setback in Europe: The ‘India A’ men's hockey team lost 1-3 to Belgium on their European tour. The Belgian side amped up the pressure early on, scoring three goals in the first quarter, with Captain Sanjay scoring India’s only goal. Their play the Netherlands next on July 18th and 20th.
Chess’ ins and outs: Indian chess grandmaster, Arjun Erigaisi, stormed into the semifinals of the Freestyle Grand Slam Tour by beating Nodirbek Abdusattorov 1.5-0.5. Meanwhile, Praggnanandhaa was eliminated after losing to USA's Fabiano Caruana.
Teenager swims past national record: 19-year-old Indian swimmer, Rohit Benediction, broke the 50m Butterfly National Record with a time of 23.96s at the World University Games in Rhine-Ruhr, Germany.
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