TMS Ep238: Development goal, Rakesh Jhunjhunwala, market, letter of comfort

Prime Minister Narendra Modi has urged citizens to focus on five resolutions to make India a developed nation in the next 25 years. It was the key highlight of the PM’s speech which he gave from the ramparts of the Red Fort on the 76th Independence Day on Monday. So, how will the country and its economy have to perform to achieve this ambitious goal by 2047? 

He had a penchant for risk-taking, and carried an air of optimism around him. He was a living embodiment of calmness in a volatile market. Prime Minister Narendra Modi led the nation in paying tribute to ace investor Rakesh Jhunjhunwala-- who died at the age of 62 on Sunday. We have a glimpse of the ace investor’s journey.  

A widely-shared video of Jhunjhunwala says a lot about his indomitable spirit. Bound to a wheelchair and suffering from a serious ailment, Jhunjhunwala couldn’t stop himself when someone tuned in famous Bollywood item number Kajrare. He almost leapt out of the chair while dancing. His sudden death has left the entire investor community in a state of shock. Let us now move on to India Inc’s struggle with inflation. Companies hiked prices to cushion their margin. But it hit the volumes, especially in the rural markets. With the commodity prices cooling off, will the upcoming quarters be better for India Inc.? Or will global growth risks keep the ride bumpy? 

The Reserve Bank of India (RBI) recently disallowed the use of Letters of Comfort (LoC), which may impact loans worth Rs 35,000 crore. So what is this letter of comfort? Find out in our next episode of the podcast.