OPINION, P6 ECONOMY, P2 INTERNATIONAL, P8 EDITORIAL CLIMATE COMMITMENT US SECURITY Goyal to developed world: Decouple trade policy from green goals Biden rallies NATO against 'new challenges' from Russia and China Changes to FAME will accelerate EV adoption Two-thirds of India's medical colleges in just seven states; district hospitals must impart medical education too NEW DELHI, TUESDAY, JUNE 15, 2021 FOLLOW US ON TWITTER & FACEBOOK. APP AVAILABLE ON APP STORE & PLAYSTORE WWW.FINANCIALEXPRESS.COM READ TO LEAD VOL. XLVII NO. 90, 18 PAGES, `8.00 (PATNA `8.00, RAIPUR `8.00) P U B L I S H E D F R O M : A H M E D A B A D , B E N G A L U R U , C H A N D I G A R H , C H E N N A I , H Y D E R A B A D , K O C H I , K O L K ATA , L U C K N O W, M U M B A I , N E W D E L H I , P U N E SENSEX: 52,551.53 ▲ 76.77 NIFTY: 15,811.85 ▲ 12.50 NIKKEI 225: 29,161.80 ▲ 213.07 HANG SENG: 28,842.13 ▲ 103.25 `/$: 73.27 ▼ 0.20 `/€: 88.76 ▲ 0.06 BRENT: $73.35 ▲ $0.66 GOLD: `48,134 ▼ `738 IN THE NEWS RBI proposes uniform regulatory framework for MFIs THE RESERVE BANK of India on Monday proposed a uniform regulatory framework for microfinance sector, wherein MFIs can provide collateral-free loans to households at boarddetermined interest rates, reports PTI. It also suggests greater flexibility of repayment frequency for all microfinance loans. Sebi tweaks rules to make delisting process efficient TO ENHANCE TRANSPARENCY and efficiency of the delisting process, Sebi has said independent directors will have to give reasoned recommendation on such proposal, while the promoters need to disclose their intention to delist the firm through an initial public announcement, reports PTI. PNB Housing deal: Carlyle, others float 'draft offer' Reports that NSDL has frozen certain group companies’ FPI accounts behind crash of up to 25% PRESS TRUST OF INDIA New Delhi, June 14 SHARES OF ADANI Group companies witnessed a massive drubbing in morning trade on Monday,tumbling up to 25%, amid reports that the NationalSecurities Depository (NSDL) has frozen certain FPIs accounts that have holding in some of these firms. Billionaire Gautam Adani's group on Monday said it has written confirmation that accountsofthreeforeignfunds that are among its top shareholders are not frozen and reportstothecontraryare“blatantly erroneous and mislead- In a stock exchange filing, Adani group on Monday said it has written confirmation that accounts of three foreign funds that are among its top shareholders are not frozen and reports to the contrary are "blatantly erroneous and misleading". "This is causing irreparable loss of economic value to the investors at large and reputation of the group," it said. SII to launch the US pharma company’s vaccine in India if it gets emergency use authorisation in its home country FE BUREAU Pune, June 14 US VACCINE MAKER Novavax on Monday said that its Covid dose demonstrated 90% overall efficacy and 100% protection against moderate and severe disease in Phase 3 trials. Novavax has a tie-up with Serum Institute of India to manufacture these vaccines for India and other low-income countries. The company said the vac- ing”. Following the statement, shares of some of the group firms witnessed partial recoveryfrom their earlylosses. Continued on Page 2 Adani Enterprises 1,600 800 1,441.35 Intra-day (BSE), Jun 14 Prev close: 838.8 1,501.25 1,400 750 1,200 754.95 THE COMPUTER EMERGENCYResponseTeamofthe ministryofelectronicsandIT hasinvestigatedthematterof theallegedhackingoftheCoWIN system and it has found thistobeafalseclaim,reports fe Bureau in Pune. Dr RS 768.7 700 1,000 Open Close 650 Open Close SATELLITE BROADBAND Bharti’s OneWeb seeks Satcom licence DoT can grant licence soon but spectrum allocation will have to wait till Trai takes a call on auction KIRAN RATHEE New Delhi, June 14 Vaccine dose being administered at a centre set up for students travelling abroad for higher studies, in New Delhi on Monday cine had 93% efficacy against predominantlycirculatingvariants of concern and variants of interest.Therewasan11%efficacy in high-risk populations and100%efficacyagainstvariants not considered variants of concern orinterest. Continued on Page 2 Co-Win system not hacked: RS Sharma Adani Ports & SEZ Intra-day (BSE), Jun 14 Prev close: 1,601.45 Sharma, chairman of the Empowered Group on VaccineAdministration,clarified that the claims of so called hackersonthedarkweb,relating to alleged hacking of the Co-WINsystemanddataleak, were baseless. ■ Page 3 Recruitment for trial of Covaxin in 6-12 group from today THE RECRUITMENT FOR the clinicaltrialofthecountry’sfirst indigenously-developed vaccine,Covaxin,amongchildrenin the age group of 6-12yearswill beginattheAIIMSinDelhifrom Tuesday,reportsPTI.Thiswillbe followed by the clinical trial of childrenintheage-groupof2-6 years.Theenrolmentofchildren volunteers aged 12-18 years at AIIMS has been completed and they have been given the first dose of Covaxin. Detailed report on Page 3 EVEN AS SOME telecom operators and technology players slug out over satellite communicationspectrum—whetherit should be auctioned or allocatedadministratively—Bharti Enterprises-led OneWeb has applied fora global mobile personal communication system (GMPCS) licence for providing satellite broadband services. While the licence can be granted to the company by the departmentoftelecommunications (DoT) anytime,the allocation of spectrum is likely to be done only after the Telecom Know the risks associated with quant funds Though quant funds operate on the basis of a set of rules and are free from fund manager bias, the method used for stock selection is not transparent ■ Personal Finance, P7 ELEVATED GLOBAL COMMODITYprices,highlytaxed auto fuels and unfavourable base effect propelled wholesale price inflation in Mayto 12.94%, the highest in the current serieswith 2011-12 base year,reports fe Bureau QuickPicks Bengal, Punjab FMs criticise GST Council’s way of functioning THE GOODS and Services Tax (GST) Council, which used to adopt the route of consensual decision-making, appears to be a divided house now, reports fe Bureau in Kolkata. Exposing the schism in the Centre-state body, two state finance ministers — West Bengal's Amit Mitra and Punjab's Manpreet Singh Badal — have made statements sharply criticising the council's way of functioning. The Coucil, which met last Saturday, announced temporary tax cuts for a clutch of Covid items but retained the rate for vaccines at 5%. PAGE 2 Sebi penalises officials, trustee of Franklin Templeton AMC SEBI ON Monday imposed a penalty totalling `15 crore on senior officials of Franklin Templeton AMC and its trustee for violating regulatory norms in the case of winding up of six debt schemes in 2020, reports PTI. However, a spokesperson of Franklin Templeton said they disagree with the findings in Sebi's order and intend to file an appeal with the SAT. They have been directed to pay the penalty within 45 days. Sebi noted that the trustees of Franklin Templeton MF and these officials failed to avert certain lapses in the functioning of the mutual fund. PAGE 10 E-comm boost to hiring in logistics SHUBHRATANDON Mumbai, June 14 GIVEN HOW ONLINE shopping is catching on,it’s now critical the logistics sector stays strongtobeableto support e-commerce.Logistics providers are now hiring at a furious pace; the headcount in the industry has shot up by 2025%overthelastoneyearcomparedwith a growth of12-14% in the pre-pandemic years.HR consultants say hiring is in full force for every role — delivery executives,pickers,packers,loaders,drivers and of course customerserviceexecutives.Teamlease estimates the industry workforce at over40 million. Neeti Sharma, co-founder and president, TeamLease Edtech,toldFE it’snotjustmore people but also new roles and skill sets that’s pushing up demand. “Technology is very important as the sector becomesmoreautomatedandthere is a need forpeople skilled inAI, IoT,data analytics and machine learning,” Sharma explained. She believes hiring could grow at 18-20% in verticals such as warehousing and transport. Alok Kumar,seniordirector (sales and global accounts), Manpower, pointed out that even as the logistics sectorwas becoming more automated and undergoing a majortransformation it was adding more warehouses and delivery centres. All of this had opened up job opportunities not just in urban India but also in tiertwo and tier three cities. Several start-ups,providing softwaresolutionsforthelogistics sector are also adding to theirworkforces.Onesuchfirm, Shipsy has added more than 100 people since March last year; the total headcount has risen 2.5 times over the prepandemic period. Harish Kumar, chief strategy officer, Shipsysaidcompanycontinues tohirepeopleinthetechnology, sales and marketing teams. Continued on Page 2 RISING DEFAULTS ‘Too big to fail’ may not apply to China anymore THE SIZEAND type of defaults that have occurred in China in recent times indicate that the notion of “too big to fail” may no longer apply to the nation’s borrowers, according to Goldman Sachs Group. There has been a noticeable up-tick in defaults by Chinese state-owned enterprises since late 2019 and some of the borrowersthathavefailedtorepay debt recently such as China Fortune Land Development Co. have had large amounts of ■Anoticeable up-tick in defaults by Chinese state-owned enterprises since late 2019 ILLUSTRATION: ROHNIT PHORE FINBARR FLYNN June 14 ■Borrowers that have failed to repay debt recently have had large amounts of outstanding bonds Policy makers appear less willing to support even large firms outstanding bonds, analysts including KennethHowrotein a report dated Friday. “Even for large corporates State support may depend on need to prevent systemic problems or for state-related entities, policy makers are much less willing to extend support,” Goldman Sachs analysts ■ Target is 648 Leo satellites byJune 2022 to construct a global satellite constellation ■ Currently, 238 Leo satellites are operational; another 36 by June end ■ After this, services to be launched in Scandinavian countries, Alaska and parts ofEurope ■ Partial service could be available over India from end ofthe year Broadbandvia satellites is provided by dropping a box, creatingWi-Fi spots The service is Ideal for remote and hilly regions Regulatory Authority of India (Trai) and the government decide whether the airwaves need to be auctioned or allocated administratively. Continued on Page 2 WPI hits series high, CPI at 6-month peak FULL FORCE Special Feature Quant funds Novavax says vaccine shows 90% efficacy Adani stocks take massive tumble THE CARLYLE GROUP along with other entities on Monday floated a "draft letter offer" with regard to an open offer for acquisition of 7 crore equity shares representing a 26% stake in PNB Housing Finance, reports PTI. ` COVID-19 FPI ACCOUNTS wrote.“Policy makers are now less likely to conduct full bailouts than compared with the past.” Concerns about the financial health of state-backed bad debt manager China Huarong Asset Management, which has about $21 billion in outstanding US currency notes, have shaken the Asian dollar bond market since April after its failure to release financial results triggered speculation about a potential debt restructuring. Continued on Page 2 New Delhi in New Delhi. Retailinflation,too,spiked toasix-monthhighof6.30% in May, as food inflation returned,aided by a 30.84% rise in oils and fats,and price pressureinfuel&lightsurged (11.58%). ■ Page 2
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