NEW DELHI, Dec 22: India and New Zealand have announced reaching a free trade agreement that is expected to boost trade between the two countries by hundreds of millions of dollars.

New Delhi and Wellington confirmed the agreement on Monday, saying the deal is expected to be formally signed in the first quarter of next year.

Under the terms of the agreement, India will gain zero-duty access for all goods exports to New Zealand. Wellington will receive duty concessions and market access for about 70 percent of India’s tariff lines, covering roughly 95 percent of New Zealand’s exports to India on a phased basis, officials said.

New Zealand is seeking to expand exports of dairy, fruit, wool and wine to India, with significant gains expected in horticulture, wood products and sheep wool.

India’s biggest beneficiaries from tariff-free access to New Zealand’s market are expected to include textiles and apparel, engineering goods, leather and footwear, and marine products.

New Zealand will also commit to investment worth $20bn in India over 15 years, India’s Ministry of Commerce and Industry said, while skilled Indian professionals should get easier access to New Zealand’s job market.

Microsoft's Mega Investment In India: Rs 1.5 lakh Crore For 'AI 1st Future'

NEW DELHI, Dec 9: Microsoft CEO Satya Nadella met Prime Minister Narendra Modi Wednesday evening and committed the United States-based software giant's largest ever Asia investment – over US$ 17.5 billion, or Rs 1.5 lakh crore – towards developing Artificial Intelligence-capabilities.

"Thank you PM Narendra Modiji for an inspiring conversation on India's AI opportunity. To support the country's ambitions, Microsoft is committing US$ 17.5 billion – our largest investment ever in Asia – to help build the infrastructure, skills, and sovereign capabilities needed for India's AI-first future," he said.

The Prime Minister responded, "When it comes to AI, the world is optimistic about India!"

"Had a very productive discussion with Satya Nadella. Happy to see India being the place where Microsoft will make its largest-ever investment in Asia. The youth of India will harness this opportunity to innovate and leverage the power of AI for a better planet."

In a press statement released shortly after the two leaders met, Microsoft said the US$ 17.5 billion it will invest in India follows an earlier investment of US$ 3 billion – towards establishing cloud and AI infrastructure in Bengaluru over the next two years, which includes upskilling and new data centres – and will ensure the company has "the largest hyperscale presence in India".

"India stands at a pivotal moment in its AI journey… one defined by impact at scale, determined to lead. As technology becomes a catalyst for inclusive growth and economic transformation, the country is emerging as a frontier AI nation. Against this backdrop… today we are announcing our largest investment in Asia - US$17.5 billion over four years…" the company statement said.

Microsoft's nearly US$20 billion investment across four years underlines India's position as an uber-valuable market for global software behemoths racing to build digital infrastructure.

Rupee in freefall, slides past 90 against US dollar

NEW DELHI, Dec 3: The rupee breached the 90-per-dollar mark for the first time on Wednesday, slipping to 90.11 in early trade to hit an all-time low. The move shocked traders despite weeks of mounting pressure on the currency from global and domestic factors.

Foreign investors have continued to pull out money from Indian markets, the dollar has strengthened globally, and uncertainty around the India–US trade deal has weighed heavily on sentiment.

Together, they created the perfect setup for the rupee to crack past a level the market had been nervously watching.

Commodity markets have added another layer of strain. Record-high metal and bullion prices have pushed up India’s import bill just as export competitiveness has weakened due to steep US tariffs and slowing global demand.

Jateen Trivedi, VP Research Analyst for Commodity and Currency at LKP Securities, said the breach was the result of several converging pressures.

“Rupee slipped below the 90 mark for the first time, pressured by the absence of a confirmed India–US trade deal and repeated delays in timelines. Markets now want concrete numbers rather than broad assurances, leading to accelerated selling in the rupee over the past few weeks,” he said.

He added that elevated commodity prices have hurt sentiment further.

“Record-high metal and bullion prices have worsened India’s import bill, while steep US tariffs continue to strain export competitiveness. This has kept weakened sentiment across equities compared to global markets and import-heavy sectors such as mineral fuels, machinery, electrical equipment and gemstones," Trivedi said.

Trivedi also noted the market is waiting for a clearer signal from the Reserve Bank of India. “Muted RBI intervention has contributed to the swift depreciation.

With the RBI policy announcement on Friday, markets expect clarity on whether the central bank will step in to stabilise the currency. Technically, the rupee is deeply oversold, and a move back above 89.80 is essential for any meaningful recovery.”

The immediate worry now is whether the rupee stabilises above 90 or slips further. Import-heavy sectors may face higher costs almost immediately, while consumers will feel the impact once fuel, electronics and essential imports adjust to the weaker currency.

The next cues will come from Friday’s RBI policy statement, the US Federal Reserve’s commentary and any concrete movement on the long-pending India–US trade discussions.

Until then, analysts expect the rupee to remain volatile and sensitive to even small shifts in global sentiment.

GST collections slow to a 12-month low of Rs 1.7 lakh crore in November

NEW DELHI, Dec 1: GST collections slowed to a 12-month low of Rs 1.7 lakh crore in November compared with Rs 1.96 lakh crore in the previous month. The growth rate at 0.7 percent was also the slowest since the pandemic, provisional data showed.

The trend aligns with the GST rate rationalisation introduced on September 22.

Net GST collections increased 1.3 percent to Rs 1.52 lakh crore, as domestic revenue dipped 1.5 percent in domestic revenue.

The International Monetary Fund (IMF), in its latest staff report, noted that India’s economy is likely to remain on a firm footing this year despite the drag from steep US tariffs—helped in part by the boost from the recent GST cuts.

However, economists caution that receipts may soften in the coming months as economic momentum normalises. Manufacturing activity slowed to a nine-month low of 56.6 in November, according to data released by HSBC, hinting at early signs of tapering.