OPINION, P2 MIND & GAMES Recent advances in attribution science have made it clear how climate change is making floods, fires and heat waves worse Page 10 State of‘the state of the nation’ FE LINES An auction of artworks by Picasso will be organised by Sotheby’s to celebrate his life and art Page 6 WHAT CUTTING-EDGE SCIENCE CAN TELL US ABOUT EXTREME WEATHER ACROSS THE AISLE , P CHIDAMBARAM Remembering Picasso WORDSWORTH Follow us on Twitter & Facebook. App available on App Store & Play Store WWW.FINANCIALEXPRESS.COM VOL. XX NO. 42 INSIDETHE CORRIDORS OF POWER FINANCIAL EXPRESS ON SUNDAY NEW DELHI SUNDAY, AUGUST 22, 2021, 20 PAGES, `10 (PATNA `10, RAIPUR `10) 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 , WHAT'S INSIDE Let's get talking The pandemic put an end to social gatherings and impromptu chatter. Starved of conversation, be it casual, purpose-driven, intellectual, businessoriented or even inane, an increasing number of people are now taking to social audio apps like Clubhouse and Twitter Spaces to talk to their heart’s content ■ LEISURE, P7 Art for change The artist’s canvas becomes the medium to highlight issues gnawing at the fabric of society ROHNIT PHORE C H E N N A I , READ TO LEAD H Y D E R A B A D , K O C H I , K O L K A T A , L U C K N O W , M U M B A I , ASMITA DEY New Delhi, August 21 THE FINTECH SPACE isbuzzing with activity. In January, the sector got its first unicorn of theyear,helped byDigit Insurance’s `135-crore fundraising from a clutch of investors at a valuationof $1.9billion.While funding deals in the segment continue to gain pace, some players are alsowell headed for an IPO (initial public offering), riding on the whetted appetite for fintech services. India and China accounted for the highest fintech adoption rate in the world’s emerging markets, as per a joint report published by EY and IVCA earlier this year. India stood at an 87% adoption rate comparedtotheglobalaverage of 64% as of March 2020. Categories such as digital payments and insurtech have MONEY GAME Pine Labs bagged the biggest slice of funding, closing a $600-m round recently BharatPe raised a fresh Cred garnered $215 m $370 m in funding at a led byTiger Global, at a valuation of valuation of $2.85 billion $2.2 billion PB Fintech, parent company of Policybazaar, aiming to raise up to `6,017.5 cr through IPO Analysts at Bernstein estimate Paytm’s revenue base to double to nearly $1billion by FY23 with non-payments revenue contributing about 33%, led by credit tech actuallyseen a boost,driven by customers’ increasing digital adoption amid Covid,analysts said.In fact,local fintech firms attracted some $2 billion in funding in the January-June period alone, almost nearing the total investments the space garnered in thewhole of 2020, analysts at KPMG said in a recent study. Investors had infused about $2.25 billion into sectoral companies last year.POS player Pine Labs bagged the biggest slice of funding, closing a $600-million funding round recently, backed by Baron Capital Group, Moore Strategic Ventures, Fidelity Management and Research Company and BlackRock, among others. Kunal Shah led-Cred and BharatPejoinedtheranksofthe unicorn with significant investor backing. While Cred garnered$215millioninfundingatavaluationof$2.2billion, BharatPe raised a fresh $370 million led byTiger Global,at a valuation of $2.85 billion. PineLabsandCreddealsare among the top 10 fintech transactions made in theAsiaPacificregioninthefirsthalfof the year, revealed the KPMG report. Besides, the insurtech segment is also a growing area of interest for investors in India,they said. ● Physical visits have reduced to less than half during pandemic US PRESIDENT JOE Biden has said the mass evacuation from Kabul, one of the largest and most difficult airlifts in history, is not without risk of loss of lives, but vowed to bring all Americans and partners home from Afghanistan, as his administration grappled with the fallout from the chaotic exit. Biden's remarks on Friday came as the US rushed to airlift as many people as possible out of the Afghan capital ahead of a selfimposed deadline to depart Afghanistan by August 31. PAGE 11 Non-payment of dues: NTPC snaps 275 MW power from UP STATE-RUN POWER generating company NTPC has snapped 275 MW power from Uttar Pradesh from midnight of August 20 for not clearing dues that had been outstanding for more than 45 days. In a communication to UPPCL, NTPC has informed that it will regulate 275.60 MW from August 20 to 29. The action is a follow-up on NTPC’s warning to Uttar Pradesh Power Corporation (UPPCL) on August 12 that it would regulate the supply of 5,512 MW power from its generating stations from August 20 as it had not cleared outstanding dues for more than 45 days. PAGE 3 Continued on Page 11 UBHARTE SITAARE `250-cr export-oriented fund for MSMEs launched FE BUREAU Lucknow, August 21 UNIONFINANCEMINISTER Nir- mala Sitharaman on Saturday launched the Ubharte Sitaare Fund (USF) for export-oriented smallandmid-sizedcompanies and start-ups in Lucknow. Sitharamanhadannouncedthe fund in her Budget speech in 2020 in the backdrop of constraintsfacedbysmallandmid- sized companies in realising their export ambitions, stating that micro, small and medium enterprises (MSMEs) were importanttokeepthe“wheelsof the economymoving”. The fund,jointlysponsored by Exim Bank and SIDBI, has a size of `250 crore with a green shoe option of `250 crore.The fund will invest by way of equity, and equity-like products, in export-oriented units, SHOT FOR KIDS RISHI RANJAN KALA New Delhi, August 21 HOMEBUYERS IN DELHI-NCR areincreasinglyadoptingonline avenuesforhousehunting,with Covid-19acceleratingthetrend. Anticipating a growing demand for digital platforms that help customers in search and discovery of properties, PropTech companies are using drones,VR and big data to help Sales Q2 2021 customers firm up decisions as Covid hinders physicalvisits. Analystsattributethegrowing clout of digital platforms in Delhi-NCR’s realty market to a rapidlyexpandingmiddleclass, growing urbanisation,technologyadoptionandrisinginternet penetration.Theypointoutthat on an average a homebuyer would make six-eight sitevisits before finalising a property,but with digital penetration and Covid, such visits have come down to two-three. In April-June 2021, when India faced the most virulent waveofCovidinfections,online searches rose steeply in DelhiNCR,particularlyin June. Continued on Page 11 Q2 2020 Q1 2021 QoQ (%) YoY (%) Faridabad 519 4 156 233 12,875 Ghaziabad 331 152 801 -59 118 Greater Noida 521 484 1,153 -55 8 1,020 885 2,946 -65 15 437 361 1,132 -61 21 2,828 1,886 6,188 -54 50 Gurgaon Noida Grand total Residential sales in Delhi NCR and its micro markets in April-June 2021 Source: proptiger.com ● Price to be finalised within a week after govt consultation FE BUREAU New Delhi, August 21 RESTAURATEURS MAY NEED to craftsharperdeliverystrategies as home deliveryof food is here tostay.Eventhoughpandemicinducedrestrictionsareconsid- erablyeasedacrossthecountry, people are wary and fears of a thirdwave loom large. As pera recent studyundertaken by Economix Consulting Group (ECG), diners are expected to continue eating meals from restaurants at home, with 61% of respondents preferring takeaway or home-delivery of meals post the lifting of curbs. In the past, almost 75% of respondents used to dine out at restaurants. Homemakersandworkingprofessionals demonstrated the greatest shift in their preferences towards takeaway and home delivery with a share of As per an ECG study In the past, almost of respondents 75% used to dine out at restaurants Homemakers and working professionals made the greatest shift in preferences towards takeaway and home delivery with a share of 57% and 37%, respectively Close to 500 respondents across a clutch of cities led by Chennai, Bengaluru and Mumbai took part in the survey In Bengaluru, close to 50% of diners admitted that they are highly inclined to dine out once things stabilise, highlighting stay-athome fatigue In Mumbai, nearly 64% now opt for takeaway and home delivery services; 21% of respondents do not expect to dine out in the immediate future, while 27% wish to go out only after a couple months IN THE WORKS PLI scheme for wearables by April 2022 EXPONENTIAL GROWTH $25-$30 billion Over the next 4-5 years, the market will grow to ■ $80-$85 bn ZYDUS CADILA SAID on Satur- of respondents prefer homedelivery of meals post lifting of curbs 61% Continued on Page 11 The wearables segment is growing at an exponential rate and currently, the size of the global market is FE BUREAU Pune/Ahmedabad, August 21 day the company would start delivering the Covid-19 vaccinesfrommid-September.The company will be ramping up capacity and be able to deliver one crore vaccines per month Octoberonward. Thecompany plans to manufacture 10-12 crore doses annually. The government had projected five crore vaccine doses from Zydus Cadila between August and December. However, there had been a 45-day delay in setting up the manufacturing plant due to the lockdown so the target of five crore vaccineswouldnowbeachieved by January next year, Sharvil Patel, managing director of ZydusCadila,said.Thecompany has a stockpile of around three to five million vaccines at present.The price for the vaccines could be announced in a week after discussions with the gov- bothinthemanufacturingand services sectors. Stating that theambitiousprogrammewas to support the champion sectors, she said some developed countries like Germany have already tried this by identifying, supporting and handholding the champion sectors and giving them necessary technologyand fund infusion. ■ SHOT UP Zydus Cadila will ramp up capacity to deliver 1 crore vaccines per month October onward The government had projected 5 crore doses from Zydus Cadila between August and December But, there had been a 45-day delay in setting up plant The company has a stockpile of around 3-5 million vaccines at present ernment,Patel said.The benchmarkforvaccinepriceshadbeen set and itwould not beverydifferent from those,Patel said. Apartfromitsownplant,the company was also in talks with three other manufacturers in Beneficiaries at a temporary vaccination camp in Navi Mumbai on Saturday EXPRESS PHOTO:AMITCHAKRAVARTY India to scale up manufacturing, Patel said.They were also technology transfer talks going on with partners outside India. The company will also start manufacturing the needle-free applicatorsrequiredforadministering the vaccines in India. The initial lots are being imported from US.The pen device for administering the vaccine is coming from Singapore. AccordingtoPatel,ZydusCadilahadinvested`500croreindeveloping the vaccine and in the manufacturing capacity with furtherinvestmentsexpectedas capacitywas beingincreased. 57% and 37%,respectively. The survey was conducted between May 25 and June 18 and entailed detailed telephonic conversations from closeto500respondentsacross aclutchofcitiesledbyChennai, Bengaluru and Mumbai. Chennai, which had the highest percentage of respondentsandasmanyas80%dining out at restaurants before Covid with 40% frequenting restaurants three times or more a month,showed limited inclination tovisit restaurants post easing of the situation. A mere 8% of respondents indicated a willingness to India should target to manufacture ■ $15-$20 bn worth of products KIRAN RATHEE New Delhi, August 21 THE GOVERNMENT PLANS to dine at restaurants once infections subside significantly, while about 72% intended to dine out after a minimum of two months. Pre-pandemic,60% of diners preferred eating in standalone AC and franchisee restaurants, but now nearly 50% diners prefervisiting fine dining and franchisee restaurants.Close to 50% of the diners in Bengaluru, however, admitted that they are highly inclined to dine out once things stabilise, highlighting stay-at-home fatigue. come up with a production linked incentive (PLI) scheme forwearable/hearable devices in the coming months. The aim is that the countryshould develop capacity for manufacturing around 25% of the global output. Officials say the wearables segment is growing at an exponential rate and currently, the size of the global market is $25-$30 billion. But over the next four-five years, the market for wearables/hearables will grow to $80-$85 billion and India should target to manufacture $15-$20 billion worth of products by then. “We are holding consultationswiththeindustryregarding the PLI scheme.The outlay for the scheme will be decided based on the level of manufacturing commitment by the companies.Wewanttoachieve manufacturing to the tune of $15-$20 billion for the next four-fiveyears,”saidanofficial. The ministryof electronics and IT (Meity) has already launched two PLI schemes — one for smartphones and another for laptops, tablets, servers and all-in-one PCs. If everything goes as per plan, the PLI for wearables will be notified byApril 1 next year. Continued on Page 11 Continued on Page 11 Continued on Page 11 Pandemic takeaway for restaurants: Home delivery is here to stay ● Survey reveals consumers will prefer safer option of eating at home P U N E Union finance minister Nirmala Sitharaman with Uttar Pradesh chief minister Yogi Adityanath and governor Anandiben Patel at the launch of the third phase of 'Mission Shakti' in Lucknow on Saturday EXPRESS PHOTO:VISHALSRIVASTAV Virtual view: Online Zydus Cadila vaccine in Sept; house hunting rises plan for 10-12 cr doses yearly Lives could be lost in massive Kabul airlift operations: Biden D E L H I , Fintechs see flow of funds as digital rises COVID IMPACT QuickPicks N E W EMERGING TREND ● Domestic firms attracted about $2 billion funding in Jan-June alone ■ SPOTLIGHT, P5 ODD & EVEN C H A N D I G A R H , Kaushik Basu’s memoir gives insight into policy making Page 4 New Delhi
The Financial Express (FE) is a business paper that’s closest to the people who are in the business of business. From business policies to market trends to new developments, The Financial Express comes packed with incisive news on every relevant issue.