ECONOMY | PAGE 2 COMPANIES | PAGE 6 'Anotherfewhundredwords neededforfullI-TBillclarity’ INTERNATIONAL | PAGE 10 Real estate, infra short of2 mn skilledworkers: Hiranandani MUMBAI, SATURDAY, AUGUST 2, 2025 Amazonsharesfallasprofit outlookspooksinvestors FOLLOW US ON TWITTER & FACEBOOK. APP AVAILABLE ON APP STORE & PLAYSTORE WWW.FINANCIALEXPRESS.COM READ TO LEAD VOL LXV NO. 182, 28 PAGES, `12.00 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: 80,599.94 ▼ 585.64 NIFTY: 24,565.35 ▼ 203 NIKKEI 225: 40,799.60 ▼ 270.22 HANG SENG: 24,507.81 ▼ 265.52 `/$: 87.53 ▲ 0.07 `/€: 99.81 ▲ 0.34 BRENT: $71.47 ▼ $0.23 GOLD: `97,770 ▼ `298 IN THE NEWS Jane Street not co-operating with ongoing I-T probe JANE STREET, THE US-based proprietary trader under investigation for index manipulation, has not been co-operating with the income-tax department, report Prasanta Sahu & Ananya Grover. ■ PAGE 7 TCS assures labour ministry on job offers TCS HAS ASSURED the ministry of labour that it remains committed to honouring all job offers it has made, reports fe Bureau. ■ PAGE 5 Apple clocks record June-qtr revenue in India APPLE INC RECORDED alltime high revenues in over two dozen markets, including India, during the April-June quarter. ■ PAGE 24 RESULTS CORNER ITC Q1 PROFIT UP 3% TO `5,244 CRORE PAGE 4 TATA POWER TOPS ESTIMATE, Q1 PROFIT RISES 9.2% PAGE 6 ADANI POWER JUNE QTR PROFIT FALLS 13.5% PAGE 6 FE S P EC I A L S Why Vida VX2 is total victory of EVs over ICE Flexible charging, neat design, enough power for city commuting ■MOTOBAHN, P9 Onus on taxpayer to identify errors Check entries across Form 16, Form 26AS & AIS DUE DILIGENCE COMPLETED BidsforIDBI stakebyQ3; saleinMarch PRASANTA SAHU New Delhi, August 1 THE GOVERNMENT WILL get financial bids for the strategic sale of IDBI Bank by December andthesuccessfulbidderwillbe announced by March, department of investment and public asset management (DIPAM) secretary Arunish Chawla said on Friday. The due diligence process and data protocols have been completed by the interested parties (QIPs). “Formal consultations have been completed with the QIPs. Wehopetoinvitefinancialbids in Q3,”Chawla said. Shares of IDBI Bank closed at `90.17 on Friday, down 2.68% from previous close on the BSE. The department received multipleexpressionsofinterest (EOI) on January 7, 2023 for a total of 60.72% stake in the bank, including 30.48% (around `29,551 crore at current prices) from the government and 30.24% from promoter LIC, along with the transfer of management control in the bank. After the financial bids are received, regulatory approval, including from the Reserve Bank of India, Securities and Exchange Board of India and Competition Commission of India,willbesoughtbeforeissuing a letterof award. While all the processes will be over by March 2026, the actual payment to the governmentandLICfortheirstakewill happen by that time or not, PLAN IN PLACE ■ Multiple expressions of interest (EOI) have been received for a total of 60.72% stake in IDBI bank ■ The deal will be the largest deal in the BFSI field so far in the country ■ After the financial bids, regulatory approval will be sought ■ Shares of IDBI Bank closed at `90.17 on Friday, down 2.68% »INSIDE« MERCHANT BANKERS APPOINTED FOR LIC OFS PAGE 3 can’tbeascertainednow,asthe bidderhastoarrangefundsetc. To make the sale smooth, the government is understood tohavegivenassurancethatthe potential buyer would have a free hand in the running of the bank,such as a change in management etc. Continued on Page 10 Trump tariff impact limited to less than half of exports to US ● But blowwould be hard on sectors where it is applied MUKESH JAGOTA New Delhi,August 1 LESSTHANHALFofIndia’smerchandise exports to the US are exposed to the 25% additional duties imposed by US President Donald Trump,but that is little reason for comfort as the blow would be heavy where it is applied.Worse,sectorsthatcould be hit are largely employmentintensive ones where MSMEs holdlargeshares. Chances are, however, that tariff rate will come down from the current level, although it is unclearbyhowmuch.Despitethe DECODING THE FINEPRINT ■ Due to the Section 232, only about $40 billion worth exports will be hit ■ Section 232 authorises US President to adjust imports of goods ■ India's goods ■ Despite the shipments to the US in FY26 stood at announcement of tariffs, both sides are talking even now for a deal $86.7 billion SELLOFFATWALL ST; »INSIDE« DOW FALLS 1.3% PAGE 7 public announcement of tariffs and Trump's verbal assault on India,bothsidesarecontinuously talking even nowfora deal,offi- EDIT: LOOK BEYOND US MARKET PAGE 8 cialsheresaid."DuetotheSection 232 sector-specific exemptions, only about $40 billion worth exportstotheUSatcurrentvalue released on Friday showed a mixed picture,while higher tariffs came into force for shipments to the US. GST collections on a net basis grew just 1.7% inJuly,while retail auto sales fell 4.5%, due to the combined effect of demand slump and supply crunch. Manufacturing showed signs ofnew orders and output (PMI climbed to a 16-month high of59.1), but hiring pace slowed. UPI volumes grew 6% m-o-m. SERENE CHEONG &WEILUN SOON August 1 AT LEAST FOUR oil tankers laden with Russian crude are waiting off at India’s western coast,as the government’s purchases of the commodity have come under the spotlight amid pressure from the US and EuropeanUnion. TheAchillesandElytearecurrently anchored near Jamnagar, ship-tracking data show,falling behind their expected arrival at Sikka on July 30-31.The vessels hadpickedupcargoesinlateJune from Primorsk and Ust Luga, where Russia’s flagship Urals crude is usually loaded. Both tankershavebeensanctionedby theEUandUK. MorethanathirdofIndia’soil imports come from Russia,and theflowshavemadeheadlinesin recent weeks,beginning with a fresh round of EU sanctions in Manufacturing PMI mid-July.This week,the Trump administration cited the purchasesasareasontohitIndiawith hefty import tariffs and also threatened more unspecified penalties for taking the oil.The Centrehassinceaskedrefinersto GST Collections (` lakh crore) Growth (YoY, in %) (right-hand scale) Gr 60 2.5 devise and share plans on sourcingcrudefromelsewhere.Achilles and Elyte,bothAframaxes,have an oil-carrying capacityof about 700,000barrelseach. Continued on Page 10 20 2 16 1.5 12 59 59.1 59 1 0.5 58 58.1 4 0 s Auto retail sales 57 56 Jul 2024 Source: HSBC India Jul 2025 UPI transactions Value (` lakh cr) ) 4.5% 24.0 -4.5% change chan Jun 2025 2,057,077 »INSIDE« GST MOP-UP RISES 7% PG 2; AUTO DEMAND SUBDUED PG 4; UPI TRANSACTIONS ATA HIGH PG 7 Feb March April May June July July 2025 25.1 1,964,101 July 2024 Juy 2025 PCI Source: NPCI ■ PERSONAL FINANCE, P9 Hints at downward revision of FY26 inflation projection by 20-40 basis points Pollpredicts‘pause’byRBI,nochangeinstance KSHIPRA PETKAR & CHRISTINA TITUS Mumbai, August 1 MPC MEET ON AUG 4-6 ALMOST 90% OF economists and market participants believe that the MonetaryPolicy Committee (MPC) will press the‘pause’button in the upcoming policy meeting during August 4-6, according to FE. In addition, all the 16 people polled believe that there will be no change in stance. Anubhuti Sahay, head India, Economic Research at Standard Chartered Bank said,“We expect a hold in the repo rate in the upcoming MPC. We believe that if a rate cut is delivered now, real rates can drop below the historical lows of 100 basis points (bps) Rate cut expectation Pause ■ Bank of Baroda ■ HSBC ■ Crisil ■ IDFC FIRST ■ CSB Bank ■ SBI Mutual Fund ■ Bank ofAmerica ■ Canara Bank ■ HDFC Bank Bank ■ IndusInd Bank ■ Jana Small Finance Bank ■ Karur Vysya Bank ■ Kotak Mahindra Bank ■ Standard Chartered ■ Ujjivan Small Finance Bank ■ YES Bank 25 bps ■ ICRA in FY27 as inflation is likely to move back towards 4.5% by March 2026.” She added that unless the MPC is convinced that FY27 inflation will stay close to 4% and/or it sees increased downside risks to growth, a ■ ICICI Bank pause on rates might be more desirable. “Given the extensive liquidity support already extended by the RBI,the central bank is expected to maintain a status quo on rates in the upcoming policy meeting,” Namrata Mittal, chief economist, SBI Mutual Fund said. Only ICICI Bank and Icra expect the repo rates to be cut by 25 basis points. “With the recent CPI prints signalling a lowertrajectoryforthe second »INSIDE« INDIA MAY LEVERAGE CRUDE IMPORTS PAGE 2 TEXTILE EXPORTERS HINT AT JOB LOSSES PAGE 2 half of this calendar year, rate cuts. there is a likelihood of a final Majority expect a downrate cut of 25 bps in the ward revision in FY26 inflaAugust 2025 policy review,” tion projection by20-40 basis Aditi Nayar, chief economist points. India’s consumer at Icra said. inflation softened in Since February, June,hitting a six-year »INSIDE« RBI has reduced the low of 2.10%. In the FOREX repo rate by 100 basis previous policy, RBI RESERVES points. In the last polrevised FY26 inflation UP $2.7 BN icy, the central bank outlook downwards to PAGE 19 delivered a larger3.7% from the earlier than-expected 50 bps projections of 4.0%. rate cut bringing the repo rate “Given that the central to 5.50%. bank needs to be slightlymore It also reduced the CRR by cautious in terms of predict100 bps starting Septemberin ing very low numbers on four tranches which is inflation, I think the 3.7% expected to maintain con- may at least be brought down ducive monetary conditions. to about the 3.4%,” Indranil Participants expect the Pan, chief economist at Yes central bank to take a call on Bank said. a rate cut only after monitoring the transmission of past Continued on Page 10 AGENCIES New Delhi, August 1 INDIAONFRIDAYbrushedaside US President Donald Trump’s recentdiatribe,reaffirmingthat thepartnershipbetweenthetwo countries has “weathered” numerous transitions and challengesovertheyears.Simultaneously,itdefendeditslong-standingrelationswithRussia,calling it"steady and time-tested”and not subject to third-party interpretations. The ministry of external affairs(MEA)madetheremarks a day after Trump imposed a 25% tariff on Indian goods and controversially described the Indianeconomyas“dead”. “India and the United States share a comprehensive global strategic partnership anchored in shared interests,democratic values, and robust people-topeople ties,” MEA spokesperson Randhir Jaiswal said during his weeklymediabriefing. “Thispartnershiphasweatheredseveraltransitionsandchallenges,” he added.“We remain focused on the substantive agenda that our two countries have committed to and are confident that the relationship will continuetomoveforward.” “Our ties with any country shouldnotbeseenthroughthe prism of a third country.As far as India-Russia relations are concerned, we have a steady and time-tested partnership,” he said. Responding to questions on India-US defence relations, Jaiswalnotedthatthetwocountriesenjoyastrongandgrowing defence partnership,which has beensignificantlystrengthened over the past several years. He expressed confidence that this relationship has potential to growevenfurther. On India’s energy procurement strategy, Jaiswal underscoredthatdecisionsareguided solelybynationalinterest. AnilAmbanifaces EDlookoutnotice inlaunderingcase PRESS TRUST OF INDIA New Delhi, August 1 8 0 58 Continued on Page 10 RussianshipsidleoffnearJamnagar High-frequency data present a mixed bag ASETOF macroeconomic data wouldbeimpactedbythehigher tariff," an official said.That is a trade-weighted figure, while India'sgoodsshipmentstotheUS inFY26stoodat$86.7billion,or 19.8% of the country's overall exports.Section232ispartofthe US Trade Expansion Act that authorisedthePresidenttoadjust imports of goods undernational securitygrounds. Officials also said because of useofanimalpartsinthefeedfor milch animals in the American dairysector,itwould not be possible for India to provide duty concessions on such goods for cultural reasons too.The livelihoodreasonsstillremainagainst theopeningupofthefarmsector and opposition to genetically modifiedproductswillremain. MEAsaysties withbothUS, Russiastrong THE ENFORCEMENT DIRECTORATEhasnotifiedaLookOut Circular (LOC) against Reliance GroupchairmanAnilAmbanion Fridaytopreventhimfromtravelling abroad, according to sources. The probe agency,earlier in theday,summonedthe66-yearold businessman for questioning in Delhi on August 5 in a moneylaunderingcaselinkedto an alleged bank loan fraud againsthisgroupcompanies. Accordingtothesources,the agencywillrecordhisstatement under the Prevention of Money LaunderingAct (PMLA) once he deposes. Some executives of Ambani'sgroupcompanieshave been also been summoned over thenextfewdays. Thesummonscomeafterthe federal agency conducted searches at 35 premises of 50 companies and 25 people, includingexecutivesofhisbusiness group, last week. The searches, launched on July 24, wentonforthreedays. Theactionpertainstoalleged financial irregularities and collectiveloan"diversion"peggedat more than `17,000 crore by multiple group companies of AnilAmbani,includingReliance Infrastructure(RInfra). The agency found, on the basisofaSebireport,thatRInfra "diverted" funds disguised as inter-corporate deposits (ICDs) to Reliance Group companies throughacompanynamedCLE. It is alleged that R Infra did not discloseCLEasits"relatedparty" to avoid approvals from shareholdersandauditpanels. ARelianceGroupspokesperson said in a statement that the allegation regarding alleged LOSING GROUND ■ ED is probing companies of Anil Ambani for financial irregularities of more than `17,000 crore ■ Ambani has been summoned for questioning in Delhi on August 5 ■ AReliance Group spokesperson alleged diversion of `10,000 crore was a 10-yearold matter ■ R Infra has stated Ambani is not on its board since March 2022 diversionof`10,000croretoan undisclosedpartywasa10-yearoldmatterandthecompanyhad statedinitsfinancialstatements that its exposure was only around`6,500crore. Reliance Infrastructure had publiclydisclosedthismatteron February 9, 2025, nearly six monthsago,thestatementsaid. "Through mandatory mediationproceedingsconductedby a retired Supreme Court judge and the mediation award filed beforetheHon'bleBombayhigh court, Reliance Infrastructure arrivedatasettlementtorecover its 100% exposure of `6,500 crore,"itsaid. Continued on Page 10