NEWS POINT | PAGE 24 ECONOMY | PAGE 3 Trump says he could travel to India next year Britannia CEO-designate to drive next phase of growth NEW DELHI, SATURDAY, NOVEMBER 8, 2025 INTERNATIONAL | PAGE 10 Musk's$1-trillionTeslapay planwinsshareholdernod FOLLOW US ON TWITTER & FACEBOOK. APP AVAILABLE ON APP STORE & PLAYSTORE WWW.FINANCIALEXPRESS.COM READ TO LEAD VOL. L1 NO. 214, 38 PAGES, `12 (PATNA & RAIPUR `12, SRINAGAR `15) P U B L I S H E D F R O M : A H M E D A B A D , B E N G A L U R U , C H A N D I G A R H , C H E N N A I , H Y D E R A B A D , K O C H I , K O L K ATA , L U C K N O W, M U M B A I , N E W D E L H I , P U N E SENSEX: 83,216.28 ▼ 94.73 NIFTY: 25,492.30 ▼ 17.40 NIKKEI 225: 50,276.37 ▼ 607.31 HANG SENG: 26,241.83 ▼ 244.07 `/$: 88.67 ▼ 0.04 `/€: 102.31 ▼ 0.27 BRENT: $63.88 ▲ $0.50 GOLD: `1,19,957 ▼ `226 gross domestic product (GDP) for FY26 will be met. IntheFY26Budget,thegovernment had projected `2.03 lakhcrore(BudgetEstimate)for foodsubsidy,whichisprimarily employed to run the supply of free foodgrain to 810 million people underthe National Food SecurityAct (NFSA). Continued on Page 20 Indices endweek in the red BENCHMARK INDICES RECORDED losses of nearly 1% during the week, the sharpest in six weeks, making it the second straight week of decline.The fall came in the absence of fresh domestic triggers and continuing FPI outflows. On Friday, the Sensex fell 94.73 points, or 0.11%, to close at 83,216.28. For the week, it fell 722.43 points, or 0.86%,while the Nifty slipped 229.80 Weekly (% change) Sensex Nifty points, or 0.89%, to settle at 25,492.30. The broader indices also ended lower, with the BSE Midcap and BSE Smallcap falling 0.59% and 1.53%, respectively, during the week. While FPIs sold shares worth `401 crore, domestic institutional investors (DIIs) were net buyers to the tune of `16,678 crore. —Kishor Kadam Top Sensex losers (weekly) BSE BSE Midcap Smallcap Power Grid Maruti Suzuki ITC Eternal L&T 0.59 0.86 0.89 BajajAutonet profitrises24% 3.87 4.41 1.53 3.71 3.71 5.60 BAJAJ AUTO REPORTED a strong second quarter performance, with standalone net profit rising 24% year-onyear to `2,480 crore on the back of higher exports and a more premium product mix, reports Geeta Nair. ■ P4 -1,932 Net equity investments ( in ` cr) FPIs DIIs NYKAA PROFIT ZOOMS 154%, BUT MISSES STREET P4 Nov 3, 2025 HINDALCO NET UP 21% AS TARIFFS HIT US MARGINS P4 Nov 4 Nov 6 Nov 7* *provisional SWAMINATHAN FOR DEEPER BOARD ACCOUNTABILITY P7 RBI TO ENHANCE DIGITAL INFRA: RABI SANKAR P7 nearly trebled and capital adequacy ratios(CAR)haverisen from13.5%to17.5%. Also, gross and net non- Continued on Page 10 I-T,GSTrelief boosts supplytoo: CEA FE BUREAU New Delhi, November 7 CHIEF ECONOMIC ADVISER (CEA) V Anantha Nageswaran said on Fridaythat income-tax relief and goods and services tax (GST) rate cuts are“not just for boosting demand but also supplies”, expressing confidence that economic growth would be upwards of 6.8% in the current financial year. He added that the fiscal measures taken by the central government recently were designed to strengthen both Tech glitch delays over 400 flights at Delhi airport NITIN KUMAR New Delhi, November 7 MORE THAN 400 flights at Indira Gandhi International Airport were hit by delays on Friday after a malfunction in theautomaticmessageswitching system (AMSS) slowed down air traffic control operations,leadingtocontrollersprocessing flight plans manually. The disruption affected both arrivals and departures at the country’s busiest airport, leading to long queues and delays across multiple airlines. The Airports Authority of India (AAI) confirmed that the technical fault had affected dataexchangesystemsusedby air traffic controllers. In the absence of automatic processing,controllersshiftedtomanual handling of critical operational messages, a move that significantly increased workload and lengthened turnaround times. Continued on Page 10 V ANANTHA NAGESWARAN, CHIEF ECONOMIC ADVISER Thereisalotofcomfortin sayingit(GDPgrowth)would bedefinitelynorthof6.5% andevennorthof6.8% demand and supply. “What was done in direct taxes in February and indirect taxes in September, they are not about a demand boost. They are also very much about supplyboost,”he said at CNBCTV18'sGlobalLeadershipSummit. “The most important indicatorisnotinterestrates;it is demandvisibility.” The Index of Industrial Production (IIP) data for September had shown sharp year onyearincreasesinproduction of assorted manufactured goods,especiallyautomobiles, and consumer durables. This was a clear sign of a prompt supply response to festive demand, boosted by GST cuts on key items. WitheffectfromSeptember 22,the GST regime underwent a major restructuring with pruning of the numberof main slabs to two—5% and 18%. Continued on Page 20 GSTcuts,ruraldemanddrive festiveautosalestonewhigh NITIN KUMAR New Delhi, November 7 BUMPER SEASON AUTOMAKERS WITNESSED THEIR best festive season performance during the 42-day period beginning September 22, the onset of Navratri, and November 2, 15 days after Dhanteras, riding on strong demand across vehicle categories. The Federation ofAutomobile Dealers Associations (FADA) on Fridaysaid the overall retail sales grew 21% yearon-year to about 5.24 million units during the period, aided by improved affordability undertheGSTrejig,recoveryin rural sentiment and renewed urban consumption. FADAPresidentCSVigneshwar said that GST 2.0 reforms helped expand the buyer base, particularly in the entry and mid-segments, and strengthened confidence across urban and rural markets alike. Passenger vehicle (PV) registrations rose to around 766,918 units from 621,539 units a year earlier, recording a growth of about 23%. All-India retail - 42-day festive period (Sept 22 to Nov 2) Festive 2024 Festive 2025 y-o-y % Tota Tot Total 4,325,632 21.1 23.39 21.8 PV 2W Source: FADA 5,238,401 Two-wheeler sales during the festive period increased to around 4.05 million units from 3.33 million last year, up 22%. The segment benefited from improved liquidity in rural markets, favourable financing and renewed interest in commuter motorcycles 8.9 3W 97,314 The Centre is facing some fiscal constraint due to the shortfall in tax revenues from the budgeted levels on account of income tax relief and sweeping GST cuts, and higher-than-expected subsidy expenditure, among other things.However,Finance Minister Nirmala Sitharaman has made it clear that the fiscal deficit target of 4.4% of the »INSIDE« 85,199 * Revised estimate; **Projection against BE of `2.03 lakh cr, #likely BE Source: food ministry We will ensure that our financial system evolves responsibly 174,189 2.17 2026-27# No regulator can or should, as far as possible, substitute for boardroom judgment 4,052,503 2.10 2025-26** SANJAY MALHOTRA, RBI GOVERNOR 3,327,198 1.97 2024-25* THE RESERVE BANK of India (RBI) is considering relaxing rules for lenders,the regulator said on Friday, observing that it has built up strong capital buffers from improved profitability and asset quality.“We will ensure that our financial system evolves responsibly,” RBI GovernorSanjayMalhotra saidat SBI Banking&Economics Conclave 2025. “No regulator can afford to situate the system at a point in time,” Malhotra said. Highlighting the strength of the country’s banking system and the growth over the last decade, the governor highlightedthat“regulationcannot ignore this performance,these changed realities”. In the 10 years since March 2015, credit and deposits have performingassetshavereduced to2.3%and0.5%,respectively. Malhotra said the central bank will support growth and innovation and ensure that the financial system evolves responsibly. At the same time, the RBI governor made it clear that it is not the regulator’s job to make decisions for bank boards and that each bank must decide what’s best for its customers and business. “Moreover, no regulator can or should,as faras possible, substitute for boardroom judgment,” he said. The central bank’s approach would be to support long-term sectoral strength without compromising prudential safeguards. 159,959 Q2 SCORECARD 2.11 2023-24 MAHESH NAYAK Mumbai, November 7 766,918 THE INITIAL PUBLIC offering (IPO) of Billionbrains Garage Ventures, the promoter of the largest brokerage Groww, closed the final day of bidding, with its float oversubscribed 17.6 times. reports Nesil Staney. ■ PAGE 7 2.72 2022-23 RBI mulls easierrules forlenders 621,539 Final push: Groww IPO subscribed more than 17x Food subsidy (` lakh crore) 6,675 GEMS & JEWELLERY exporters are finding new avenues to sustain their businesses amidst the 50% additional tariff in the US, by exporting highmargin diamond-studded jewellery to the US and catering to a burgeoning domestic market, reports Krishna Barot. ■ PAGE 2 THE FINANCE MINISTRY has agreedtoallocateanadditional `7,000 crore to the Food CorporationofIndia(FCI)formeeting its grain management expenses in the current fiscal. Thiswilltakethetotalbudgeted expenditure on food subsidyin the year to `2.1 lakh crore, according to official sources. The additional outlay is against FCI’s demand for `20,000 crore to meet its assorted expenses. The sources added that an understanding has also been reached between the finance ministry and the department of food and public distribution to keep food subsidyoutlayfor the next financial year (202627)at around `2.17lakh crore. The year-on-year increase in allocation is expected to help FCI service the loans it might have to take now to bridge the shortfall in the current year. 4,581 Gems & jewellery exporters seek to cushion tariff blow SANDIP DAS New Delhi, November 7 5,284 INDIA AND THE European Union on Friday wrapped up their latest round of meetings to narrow the differences in negotiations on the free trade agreement and complete it by the end of this year, reports fe Bureau. ■ PAGE 2 ministries agree on `2.17-lakh-cr outlay for FY27 MONEY MATTERS -2,724 India, EU narrow FTAgaps after new round of talks ● Finance,food 1,203 CAPEX BY STATE governments likely grew 10% on-year in the first six months of the current fiscal on a shrunken base, reflecting a moderate rate of growth compared to the Centre’s frontloading of capex to boost economic activity, reports Prasanta Sahu. ■ PAGE 2 FY26 food subsidy hiked by `7,000 cr -326 Capex of states likely grew 10% in April-Sept FCI HAD SOUGHT`20,000 CR,MAYTAKE LOANS 3,516 IN THE NEWS 14.22 Tractor and scooters. Dealers described this as the strongest festive season in recent years,with an uptick in enquiries for electric two-wheelers added to the overall momentum. Continued on Page 10 Operators face rising margin pressure as prices of key ingredients go up NewYork’s Indian restaurants lose flavouras tariffs bite KATE KRADER & ARVELISSE BONILLA RAMOS November 7 INDIAN RESTAURANTS HAVE been on a well-documented tear in NewYork City,outshining London’s, garnering chef awards and becoming a destination for Wall Street executives. Even butter chicken, a culinary cliche, has become one of the Big Apple’s most notable dishes. The South Asian wave has seemed unstoppable. But on July 31, US President Donald Trump imposed additional tariffs on India, which went into effect on August 27, doubling the rate on most exports from the country to 50%. Even as the legality of those tariffs is being debated before the Supreme Court,the impact has been tough on New York’s Indian food community.The price of products that define the cuisine, from spices and rice to pulses and tea, has risen, cutting into tight margins for restaurants as well as retailers. (And it’s a problem not everyonewant to discuss because of the highly charged politics around the conversation.) Chef and restaurant operator Salil Mehta—founder of Fungi Hospitality Group, which includes grilled-meat specialists Kebab aur Sharab on the Upper West Side of Manhattan—has seen the wholesale price of a 40-pound bag of basmati rice climb to IN THE SOUP ■ Several restaurants avoiding price hikes for fear of deterring customers From $7, a 500 g chilli powder now costs ■ Tariffs are also hurting the booming Indian snack market $10.50 Cost of a 40-pound bag of basmati rice has gone up from $30 to $45 $45from$30.Likewise,a500grampackofchillipowderthat was $7 now costs him $10.50. Indian and Asian restaurants more broadly are particularly vulnerable to these cost increases, says Mehta, in part because they suffer from the Cost ofArhar dal has risen from $62 to Importers fear getting stuck with overpriced products ■ $82, while ghee from $150 to $220 stigma of being a “cheap” cuisine.“People don’t mind paying $35 for a cacio e pepe, for fiveouncesofpasta.Butthere’s a different perception that [Indian] food should be cheap already,”he says. As a result, Mehta has had to raise prices at his restaurants. Entrees are about $5 more than they were pre-tariffs, and appetisers are “a couple of dollars more here and there.”But he says“it still doesn’t cover us,it means the mar- gins are even lower than they were.” Mehta is putting all his food costs undera microscope, he says. “Now if the server drops the food at the wrong table,it’s a problem.” At Lungi, a South Indian and SriLankandiningroomon the Upper East Side, chefownerAlbinVincentislikewise feeling the pinch from the higher outlays for imported ingredientssuchasrice,lentils, and spices like ginger and garam masala. “These increased costs make it difficult for us to maintain profitability while keeping the menu prices low,”he says. So far, he’s maintained the price of dosas at $20 to $26 and assorted biryanis at under $28,butit’sgettinghard.“Ifwe raise prices to offset these costs,we also risk driving away customerswho mayalreadybe sensitive to price increases,”he says.“This creates a challenging situation where maintaining quality and authenticity becomes financially difficult.” Vincent estimates that his New Delhi costs on ingredients from Indiahavegoneupabout25%: “Coconut milk,we were ordering for $38 per case and now are paying $48 per case.” Maneesh Goyal, owner of the elegant,year-old Passerine in the Flatiron district—one of the few Indian tasting menu restaurants in the city— is also trying to absorb the higher costs of imported ingredients. A bag of Arhar brand dal that was $62 pre-tariff is now$82, and a case of ghee costs $220, up from $150, a more than 46% rise.“As a new restaurant and an Indian restaurant, [we] haven’t felt that we have the wherewithal to raise prices,”he says.“Weknowthe impactthat it can have on covers.” Continued on Page 10