TMS Ep311: India's FDI Inflows, Second-hand Car, Auto Stocks, India Stack
What's behind the fall in India's FDI inflows? Why is the second-hand car market running in top gear? Will the rally in auto stocks pause after the festive boost? What is India Stack? All answers here
Team TMS New Delhi
During the first half of this fiscal, foreign direct investment equity inflows fell by 14%. While the total FDI -- which includes equity inflows -- also saw a contraction of 9%. So what led to this fall and what could be its impact on the Indian economy?
There has been an uptick in FDI in the Indian automobile sector over the years. It is expected to become the world’s third largest by 2026. Back home, people are thronging the showrooms to drive home new cars. The sales of passenger vehicles shot up 29% last month. Meanwhile, a parallel industry of second-hand cars is also thriving. And it is becoming increasingly organised. The market for second-hand cars is expected to double in the next five years. Is the used car then the new “new” for Indian auto-buyers?
Easing chip shortage also helped auto sales touch the 1 million-mark in Q2. However, as demand entered a slow lane amid weak exports in October, and the end of the festive season, the rally in auto shares lost its steam. Will this trend continue?
Speaking at the Bengaluru Tech Summit, Minister of State for Electronics and IT Rajeev Chandrasekhar last week said that the next generation of devices and products, like India Stack, are being architected and designed in India. But ever wondered what exactly is India Stack? In this episode of the podcast, we offer an insight into this platform and how will it help India achieve its ambitious digital transformation.
First Published: Nov 25 2022 | 1:20 PM IST