🚂 All Aboard! Railways' ₹3 Lakh Crore Revamp in Budget 2025 (Jan 17)

Happy Friday! The weekend is almost here, and we’re here to serve you the hottest sips of the day to carry you through. Let’s dive into what’s brewing! ☀️

Chai Shots ☕

• 🚀 Amazon’s Big Move: Amazon is set to acquire Axio (formerly Capital Float), India’s BNPL giant for over $150M, marking its second big Indian acquisition after MX Player.

• 📊 Ficci’s GDP Forecast Update: Ficci has revised India’s GDP growth forecast for FY25 to 6.4%, down from 7%. Inflation is expected to cool to 4.8%, paving the way for a steady economic recovery. 🌱

• 🔎 Policybazaar Under the Scanner: GST officials raided PB Fintech's Gurugram office, investigating financial irregularities linked to vendors. The company says there’s no financial impact on its operations.

• ⚽ Swiggy Diversifies: Swiggy received MCA approval to launch Swiggy Sports Pvt Ltd, focusing on sports team management, events, and broadcasting rights, marking a move into sports entertainment.

• 📊 Asia Markets Rally: Markets in Asia-Pacific tracked Wall Street’s gains. South Korea kept interest rates steady, while Japan’s producer price index climbed 3.8%. Australia saw a jobs surge, exceeding forecasts by a wide margin.

The Big Brew ☕: Budget 2025- Indian Railways’ Rs 3 Lakh Crore Track to the Future 🚂

The 2025 rail budget is gearing up to deliver a 15-20% hike in capital expenditure, crossing ₹3 lakh crore! This ambitious allocation aims to upgrade India’s railway infrastructure, ensuring safety and modernisation.

Here’s what to expect:

• Station upgrades & modern trains: Vande Sleeper trains are set to debut, promising unmatched comfort for long journeys.

• Bullet train boost: The Mumbai-Ahmedabad High-Speed Rail Corridor will receive enhanced funding to accelerate progress.

• Safety focus: ₹34,000 crore allocated to critical safety upgrades, including the Kavach system to prevent accidents.

Why It Matters: Indian Railways is the lifeline of the country, transporting 23 crore passengers daily. With over 70 derailments reported in 2024 alone, modernisation is no longer an option—it’s a necessity.

Market Masala 📈: Markets stay on track as PSU banks and metals shine!

• Investor Pulse: Optimism around mild US inflation data and global cues helped markets rally. While PSU banks, energy, and metals recovered, IT and FMCG remained under pressure. Earnings from Reliance, Infosys, and Axis Bank are expected to keep the momentum alive next week.

• 💸 RBI Boosts Cross-Border Trade: India’s central bank is making global trade smoother than ever! Exporters can now open foreign currency accounts overseas, and non-residents can hold rupee accounts for transactions with Indians. Bonus: These accounts can even be used for foreign investments! 🌎✨

• 📈 Adani Stocks Soar Post-Hindenburg Shutdown: Adani Group stocks rallied up to 9% following the surprise closure of Hindenburg Research, the firm behind last year’s controversial report

• Earnings Watch: Reliance Industries Q3 Highlights 📊: Reliance Industries posted a 7.3% YoY rise in net profit to ₹18,540 crore and 6.7% growth in revenue to ₹2.43 lakh crore, driven by festive sales in retail, Jio’s ARPU growth and improved refining margins in the O2C segment, with EBITDA hitting a record ₹48,003 crore. 🚀

Global Masala 🌎: Markets Stumble Amid Tech and Earnings Pressure

• US markets struggled Thursday as the Nasdaq led declines, dropping 0.9%, weighed down by tech heavyweights Apple and Tesla. Investors digested mixed retail sales data, earnings reports from banks like Morgan Stanley and Bank of America, and a Senate hearing for Treasury Secretary nominee Scott Bessent. Despite these headwinds, optimism remains over potential Fed rate cuts later in the year. 📉💼

• Apple Faces a Rough Day: Apple shares dropped 4%—its worst day since August—amid reports of declining iPhone sales in China, falling to third place behind Vivo and Huawei, and concerns over its AI system not driving demand, with analysts forecasting a 6% drop in shipments for the first half of 2025. 📉

• UK under pressure: The UK economy grew by a mere 0.1% in November, falling below expectations and strengthening the case for a Bank of England rate cut. Meanwhile, the pound dropped against the dollar, highlighting diverging growth between the US and the UK.

• 🏀 Global Masala: A New Basketball League Takes Shot at the NBA
  A group of investors led by LeBron James’ business partner, Maverick Carter, is looking to raise $5 billion to create an international basketball league to rival the NBA. The league will feature six men’s and six women’s teams, playing across eight global cities in a Formula 1-inspired schedule. With games planned in hubs like Singapore, this ambitious project aims to take basketball to a new level worldwide. 🌍

Startup Scoop 🚀

• AstroSure.ai: Raised $6M for AI-based astrology with a Vedic twist. Their chatbot, Agastyaa, promises 24/7 personalized predictions! 🌟

• Fambo: Secured ₹21 crore to connect farmers with cloud kitchens using AI, reducing food waste and ensuring fresher produce. 🥗

• Recur Club: Launched a ₹150 crore fund to boost D2C quick commerce brands with speedy financing options. 💸

What’s Brewing Next? 🔮

• TikTok’s US Shutdown Looms: TikTok is set to halt operations in the U.S. on Sunday unless a last-minute reprieve comes through. ByteDance faces a federal mandate to divest TikTok to avoid a nationwide ban.

• Stallion India IPO: The much-anticipated IPO has already been subscribed 7.08x on Day 1. 🚀

Chai Break Trivia ☕

Did you know?
The Indian Railways is the largest employer in India and the fourth-largest in the world, with over 1.3 million employees! Next time you hear a train whistle, give a nod to this engineering marvel.

That’s a wrap for this week! As we roll into the weekend, take a moment to soak in the market wins, keep an eye on those new IPOs, and maybe even vote on that railways poll

We’re off to finish brewing an exciting case study on Bira 91 and how it’s shaking up the Indian whiskey market 🍻🥃—stay tuned for the Sunday Brunch edition!