Asian Development Bank (ADB)

♦ The Government of India and the Asian Development Bank (ADB) on 20 December 2024 signed a $350 million policy-based loan under the second subprogram of Strengthening Multimodal and Integrated Logistics Ecosystem (SMILE) program.

♦ The signatories to the loan agreement were Department of Economic Affairs (DEA), Ministry of Finance; Department for Promotion of Industry and Internal Trade (DPIIT), Ministry of Commerce and Industry; and the ADB.

♦ The SMILE program is a programmatic policy-based loan (PBL) to support the government in undertaking wide-ranging reforms in the logistics sector in India.

♦ The programmatic approach comprises two subprograms, which aim to expand India’s manufacturing sector and improve the resilience of its supply chains.

India Ratings and Research (Ind-Ra)

♦ India Ratings and Research (Ind-Ra) has projected India's economy to grow by 6.6% in 2025-26. The agency forecasts a 6.4% growth for 2024-25.

♦ Retail inflation is forecast to average 4.4% in FY26, lower than the 4.9% expected for FY25. 

♦ Ind-Ra forecasts a merchandise trade deficit of US$ 308 billion (Rs.26,15,536 crore) in FY26, compared to US$ 277.4 billion (Rs.23,55,681 crore) in FY25 and US$ 244.9 billion (Rs.20,79,691 crore) in FY24.

Asian Development Bank (ADB)

♦ The Union Government and the Asian Development Bank (ADB) signed a 42 million dollar loan on 19 December 2024 to strengthen coastal protection to help boost community resilience in Maharashtra.

♦ The ADB will help build the capacity of the Maharashtra Maritime Board in shore management planning, including the establishment of a coastal infrastructure management unit.

♦ The project will support capacity building of stakeholders on gender equality and social inclusion, coastal management, and livelihood activities.

Top 200 Self-Made Entrepreneurs of the Millennium 2024

♦ IDFC FIRST Private Banking and Hurun India launched the second edition of the 'IDFC FIRST Private & Hurun India’s Top 200 Self-Made Entrepreneurs of the Millennium 2024' list on 18 December 2024. It contains a list of the 200 most valuable companies in India founded after the year 2000. 

♦ Radhakishan Damani, the founder of Avenue Supermarts (DMart), led the list with a valuation of over Rs.3.4 lakh crore, reflecting a remarkable 44% growth.

♦ Zomato CEO Deepinder Goyal secured the second position with a valuation of Rs.2.51 lakh crore. 
Top 10 names in this list:
1. Radhakishan Damani (Avenue Supermarts): 3,42,600 crore
2. Deepinder Goyal (Zomato): 2,51,900 crore
3. Sriharsha Majety & Nandan Reddy (Swiggy): 1,01,300 crore
4. Deep Kalra & Rajesh Magow (Makemytrip): 99,300 crore
5. Abhay Soi (Max Healthcare Institute): 96,100 crore
6. Yashish Dahiya & Alok Bansal (Policy Bazaar): 78,600 crore
7. Bhavit Sheth & Harsh Jain (Dream11): 66,500 crore
8. Nithin Kamath & Nikhil Kamath (Zerodha): 64,800 crore
9. Harshil Mathur & Shashank Kumar (Razorpay): 62,400 crore
10. Falguni Nayar (Nykaa): 56,600 crore

Public Sector Banks (PSBs)

♦ According to the Finance Ministry, Public Sector Banks (PSBs) in India have recorded their highest-ever aggregate net profit of Rs.1.41 lakh crore in the financial year 2023-24.

♦ The Gross Non-Performing Assets (GNPA) ratio steeply declined, dropping to 3.12% in September 2024 from a peak of 14.58% in March 2018.

♦ In the first half of FY 2024-25, Public Sector Banks (PSBs) reported a net profit of Rs.85,520 crore, marking an impressive 26% growth compared to Rs.67,850 crore during the same period in the previous year (2023-24).

Elon Musk

♦ Elon Musk became the first person in history to achieve a net worth exceeding $400 billion, according to the Bloomberg Billionaires Index.

♦ This milestone follows a substantial insider share sale at SpaceX, his aerospace venture, which added approximately $50 billion to his wealth.

♦ The Bloomberg Billionaires Index estimates Musk’s current net worth at $447 billion.

♦ Amazon founder Jeff Bezos holds the second spot with a net worth of $249 billion, followed by Mark Zuckerberg in third place at $224 billion.

♦ Larry Ellison ranks fourth with $198 billion, while Bernard Arnault rounds out the top five at $181 billion.

Sanjay Malhotra

♦ Sanjay Malhotra took charge as the 26th Governor of the Reserve Bank of India on 11 December 2024 for a three-year term.

♦ He replaced Shaktikanta Das, whose tenure ended on December 10. Sanjay is a 1990-batch IAS officer of the Rajasthan cadre. He is a former Revenue Secretary.

♦ He had earlier worked as the Chairman and Managing Director of state-run Rural Electrification Corporation (REC) Limited.

Asian Development Bank (ADB)

♦ The Asian Development Bank (ADB) lowered its India growth forecast for the current financial year (FY25) to 6.5 percent from 7 percent earlier. It also revised downwards its forecast for FY26 to 7 percent from 7.2 percent earlier.

♦ As a result, the growth forecasts for South Asia have also been revised downwards to 5.9 per cent for 2024 and 6.3 per cent for 2025.

Reserve Bank of India (RBI)

♦ Reserve Bank of India (RBI) has announced Introduction of the Secured Overnight Rupee Rate (SORR) a benchmark based on the secured money markets.

♦ The RBI had set up the Committee on the MIBOR Benchmark to review the Rupee interest rate benchmarks in the country, especially the usage of Mumbai Interbank Outright Rate (MIBOR), and to examine the need for transition to new benchmarks.

♦ The Committee recommended several important measures to further develop the interest rate derivative market and improve the credibility of interest rate benchmarks. 

Foreign Direct Investment (FDI)

♦ Foreign Direct Investment (FDI) inflows into India have crossed the $1 trillion milestone (Rs.84 lakh crore) in the April 2000-September 2024 period, firmly establishing the country’s reputation as a safe and key investment destination globally.

♦ According to data from the Department for Promotion of Industry and Internal Trade (DPIIT), the cumulative amount of FDI, including equity, reinvested earnings and other capital, stood at $1,033.40 billion during the said period.

♦ Approximately 25% of the FDI originated from Mauritius, followed closely by Singapore at 24%, the United States at 10%, and the Netherlands at 7%.

♦ Other notable contributors included Japan (6%), the United Kingdom (5%), the UAE (3%), with the Cayman Islands, Germany, and Cyprus each accounting for 2%.  

♦ The sectors that attracted the highest FDI inflows included services, computer software and hardware, telecommunications, trading, construction development, automobiles, chemicals, and pharmaceuticals.

♦ Since 2014, India has reportedly drawn in a cumulative FDI inflow of US$ 667.4 billion, reflecting a significant increase of 119% compared to the preceding decade (2004-14). 

Central Statistics Office (CSO)

♦ The Union Government announced its decision to change the base year for GDP calculation from 2011-12 to 2022-23 on 2 December 2024.

♦ This significant move aims to present a more accurate reflection of the current economic structure and improve policymaking. The base year is a benchmark for calculating GDP by eliminating the effects of inflation, allowing for a comparison of economic growth over time. 

♦ The shift from 2011-12 to 2022-23 is particularly relevant because the Indian economy has undergone substantial transformations over the past decade. 

♦ The GDP base year of 2011-12 was fixed in January 2015 when the Central Statistics Office (CSO), now part of the Ministry of Statistics and Programme Implementation (MoSPI), revised the base year for calculating national accounts.

Goods and Services Tax (GST)

♦ The total gross Goods and Services Tax (GST) collections grew 8.5 percent to over Rs.1.82 lakh crore in November 2024 as compared to the same month in 2023. The total gross GST revenue in November 2023 was Rs.1.68 lakh crore. 

♦ In 2024 November, the Central GST collection stood at Rs.34,141 crore, State GST at Rs.43,047 crore, Integrated IGST at Rs.91,828 crore and cess at Rs.13,253 crore.

♦ In 2024 October, GST collections of Rs.1.87 lakh crore were the second-best GST mop-up with 9 percent annual growth. The highest-ever collection was in April 2024 at over Rs.2.10 lakh crore.