Views on RBI Policy: Soumitra Majumdar, Partner, J. Sagar Associates

Mr. Soumitra Majumdar, Partner, JSA

“RBI’s monetary policy statement do significantly allay fears of economic slowdowns in India. The Indian economy should be able to weather several risks and geo-political tensions plaguing several developed economies and prove to be a stable and consistent investment destination. Though showing positive trends, however, inflation continues to remain the centre of RBI’ attention. Cleaner balance sheets of banks and corporates coupled with the liquidity holds promise of larger capital expenditure by both the public and private sectors. Bank’s ability to fix their inter- institutional borrowing limits testifies the sectoral strength. The proposed amendments to the stressed assets resolution circular of June 7, 2019 for including specific guidelines for compromises and settlements with borrowers, is definitely a welcome move. This will help expediting closure of settlement proposals under a certain regulatory framework – promising further cleansing of bank and corporate books, with renewed focus on further credit and business growth. Regulations for restructuring borrower accounts hit by natural calamities is again a positive move for the economy. Thrust on developing and securing the digital lending ecosystem also holds promise for credit penetration and demand- driven growth.”

Monetary Policy Quote from Siddhartha Sanyal, Chief Economist & Head Research, Bandhan Bank

Siddhartha Sanyal, Chief Economist & Head Research, Bandhan Bank.

Quote:

“The status quo on the repo rate in today’s MPC meeting was almost a foregone conclusion and the committee did not spring any surprise. Interestingly, despite lowering the Q1 FY24 CPI inflation forecast by 50 basis points, the CPI projection for the full year was kept almost unchanged. As expected, the RBI underscored that the vigil on inflation will remain strong as they emphasised on the importance of reaching the CPI target of 4% rather than merely staying within the tolerance band. The emphasis on achieving the 4% target and keeping the stance of policy unchanged at “withdrawal of accommodation” likely have pushed out expectations of rate cuts at the margin. Overall, the central bank is expected to keep the repo rate unchanged for several quarters, likely beyond the current calendar year. Monetary policy in India of late had been prudent, decisive and often front-loaded, a trend that is likely to continue in the foreseeable future”.

Quote from Ms. Achala Jethmalani, Economist, RBL Bank on Monetary policy announcement

Quote – Ms. Achala Jethmalani, Economist, RBL Bank

“In a no surprise move, monetary policy maintained a status-quo on policy rates and stance. It remains in a ‘wait & watch’ mode and vigilant on inflation trajectory. We expect a pause on policy rates through CY2023 while modulating system liquidity. The window for policy pivot to rate cuts could open-up in 1H CY2024, if inflation trajectory warrants given that growth remains robust.”

Supercharge Your Cloud Security with PingSafe’s Cutting-Edge Solutions Now Available on Google Cloud Marketplace

Bengaluru, 8th June 2023: PingSafe, the only CNAPP platform powered by attacker’s intelligence, announced its launch on Google Cloud Marketplace today. Google Cloud users can now quickly find and deploy PingSafe’s CNAPP platform on the Google Cloud Marketplace, streamlining the onboarding process and allowing users to proactively secure their Google Cloud real estate.

“PingSafe was built with the vision of securing the cloud and making the internet a safer place,”, said Anand Prakash, the CEO of PingSafe. “PingSafe’s inclusion on Google Cloud Marketplace helps advance our vision by opening up a new avenue for serving our customers more efficiently while allowing the users to drive innovation via the Google cloud offerings fearlessly.”

With PingSafe’s CNAPP platform available on Google Cloud Marketplace, customers will realize key benefits, including:

• Onboarding without additional pre-approval steps, such as licensing and pre-configuration.
• Consolidated spending, billing, and payments.
• Committed coverage for the latest Google Cloud offerings

“While the cloud is becoming a necessity for most businesses, the Google Cloud and PingSafe partnership will allow cloud adoption at scale without worrying about their security,” adds Dhiraj Khare, VP – Sales at PingSafe.

“Demand for cloud security continues to grow, making it essential for organizations to have powerful solutions to protect their cloud infrastructure and sensitive data,” said Dai Vu, Managing Director, Marketplace & ISV GTM Programs, Google Cloud. “With PingSafe available on Google Cloud Marketplace, organizations can access and deploy PingSafe’s CNAPP Platform directly, helping secure their infrastructure.”

Quote on RBI Monetary Policy – Mr. Rajiv Agarwal, MD & CEO, Essar Ports

Mr. Rajiv Agarwal, MD & CEO, Essar Ports

“Today’s announcement of the RBI Monetary Policy is a result of the overall positive outlook of the Indian economy and that the inflation is under control. This reflects that India has decoupled from the rest of the world in terms of inflation and growth rates. We should expect a downward reduction in the rates in coming times.”

Views on RBI Policy: Mr. Dhiraj Relli, MD & CEO, HDFC Securities

Mr. Dhiraj Relli, MD & CEO, HDFC Securities

“The RBI MPC left the repo rates unchanged at its meet on June 08 in line with street expectations. MPC members were in a sweet spot in the backdrop of higher than expected GDP numbers and moderating headline and core inflation print. 

The MPC continued with the ‘withdrawal of accommodation’ stance (with 5:1 majority), as liquidity has turned into significant surplus mode further increased by the impact of withdrawal of Rs 2000 notes. A sustained moderation in inflation going forward may prompt the shift from “withdrawal of accommodation” to “neutral” stance. 

India’s economic activity has continued to demonstrate resilience. RBI retained its GDP forecast at 6.5% in FY24. 

Given the uncertainties around the impact of El-Nino conditions leading to sub-par monsoon in 2023, RBI remained cautious and revised the inflation projection by only 10bps to 5.1% for FY24. RBI Governor stressed on moving towards the primary target of 4% inflation. In this backdrop, expectation of rate cut in this calendar year seems to be faded. We expect the first rate cut perhaps in Feb 2024.”

Simpl partners with McDonald’s India

Simpl partners with McDonald’s India to enable a seamless 1-tap checkout experience for millions of its customers online

This partnership assumes significance with an increasing number of customers ordering online

Mumbai, 08 June 2023- Simpl, India’s foremost 1-tap checkout network, today announced a partnership with McDonald’s India (West & South), to bring a seamless online checkout experience to millions of customers. Simpl’s integration with the McDelivery App as part of the association will play a key role in providing a smooth online checkout experience.

Customers using the McDelivery platforms (app and website) will be able to use Simpl’s 1-tap pay to effortlessly place their orders. As of March 2023, McDonald’s India has 357 restaurants in 56 cities across West and South India, serving millions of registered customers across the regions. The company is on a fast track to add 40-45 new restaurants in FY24 and 580-630 new restaurants by 2027.

Commenting on the partnership, Nitya Sharma, Founder, and CEO at Simpl said, “As an organisation committed to providing customers with a frictionless checkout experience online, we are increasingly partnering with small, medium, and large enterprise merchants to offer millions of their customers our state-of-the-art 1-tap payment experience. This assumes significance as the Checkout network plays a crucial role in onboarding new customers and increasing customers’ engagement with the platform. In this endeavour to empower merchants, we are excited to partner with McDonald’s India to offer a unique and seamless experience to their customers as they strengthen demand on their own platforms”.

Arvind R.P., Chief Marketing Officer, McDonald’s India, said, “At McDonald’s India, we are committed to offering our customers the best experience across touchpoints. By integrating Simpl’s technology into our McDelivery platform, we are enabling millions of customers to enjoy the 1-tap checkout experience and their favorite McDonald’s meals in no time. As we continue to expand and innovate, we are excited to work with Simpl who share our commitment for innovation and customer satisfaction.”

McDonald’s App and McDelivery App have over 24 million downloads collectively and millions of registered customers across the two regions.

With an increasing number of customers ordering online, offering a unique experience that helps the platform build a relationship with the customer and create brand loyalty is imperative. Integrating Simpl with McDonald’s India will offer millions of customers an elevated level of seamless online experience. Currently, over 26,000 merchants across the country use Simpl’s 1-tap pay to increase conversions and build trust with new customers.

Forever New India Surpasses 200 Crore+ Revenue Milestone in Under a Year

Delhi, 8 June 2023: Forever New is an illustrious fashion empire hailing from the vibrant city of Melbourne, Australia. Since its inception in the twilight of 2006, this extraordinary brand has rapidly ascended to become one of the most revered and fastest-growing Australian marvels. With a presence in over 250 stores across seven countries, Forever New has garnered a reputation for its celebration of feminine beauty and distinctive style that permeates every aspect of its creations. Forever New India, the epitome of style and elegance, is delighted to announce a remarkable milestone in its journey. In less than a year, the brand has achieved a staggering revenue of over Rs. 200 crores, establishing itself as the fastest-growing high-premium fashion brand in the country.

As part of its ambitious expansion plans, Forever New India has embarked on a rapid expansion strategy with a keen focus on tier 2 and 3 cities. This impressive achievement is a testament to the brand’s commitment to delivering exquisite dresses that embody timeless beauty and unparalleled style.

Forever New India is renowned for its impeccable craftsmanship, timeless collection, and signature prints that stand out in a crowded marketplace. Each piece is meticulously designed to reflect the brand’s dedication to excellence. With 38 exclusive business outlets, over 40+ concession stores, and the iconic Pooja Hegde as the brand ambassador, Forever New India has established an impressive brand presence and enhanced accessibility for its valued customers. The brand’s commitment to reaching its audience is further reflected in its availability in all leading malls across the country. Customers can also conveniently explore and delve into the world of Forever New India through its user-friendly website and online presence in major online marketplaces, which contribute to a significant 28-30% of the brand’s overall business.

In an exciting development, Forever New India is poised to make an indelible mark in the handbag category. By expanding its presence in this segment, the brand is strengthening its foothold as a comprehensive fashion destination, catering to the diverse needs and desires of its esteemed customers. The brand envisions a promising future in the footwear market, further enriching its product portfolio and indulging fashion enthusiasts from head to toe.

Speaking about this extraordinary achievement, Mr. Dhruv, Country Head of Forever New India, expressed his delight, stating, “Forever New has achieved a stupendous growth of 90% over 2019. The company achieved sales of Rs. 200 crores for the financial year and very impressive growth in profitability, in spite of being challenged by the pandemic that impacted fashion brands’ consumption severely across the world and in India. This growth trajectory was led by the outstanding in-trend and yet classic fashion quotient of Forever New styles and their impeccable quality built on a very sound platform of sustainability since 2020-21. The teams at Forever New were pioneers in the deployment of personalized communication to their ‘Allure’ loyalty program members and strategically rolled out many consumer-centric initiatives such as ‘virtual shopping’ and ‘home shopping’ during the pandemic and continue to provide that service. Forever New also strengthened its E-Commerce business and was again at the forefront as a partner with Myntra to start Omni channel sales in 2020. The brand appointed superstar actress Pooja Hegde as its new Brand Ambassador which elevated the overall brand reach and its presence. Coupled with their star power and the massive ‘A Hundred Influencer’ Program, the brand was able to catapult to extraordinary success in just two short years after the end of the disruption caused by the pandemic in 2021. During this period, it has been adjudged as a ‘Great Place To Work’ and also the ‘Top 10 Companies in India to Work at For Women’ for the year 2022-23. Sixty per cent of the employees at Forever New are women – Dhruv Bogra, Country Director -India and Southeast Asia”

Forever New India, driven by an unyielding devotion to offer a realm of unmatched style and transcend the boundaries of the fashion landscape, has emerged triumphant in its meteoric rise and garnered a loyal customer base across the country.

Reaction on RBI Policy from Andromeda and Square Yards

Mr. V Swaminathan, executive chairman, Andromeda sales and Apnapaisa.com

The RBI’s decision to maintain the policy rates unchanged is positive news for borrowers, especially considering the global apprehensions that persist in advanced economies. However, the Reserve Bank of India remains focused on preserving price and financial stability while ensuring adequate flow of financial resources to all productive sectors of the economy.

It is encouraging to note that domestic macroeconomic fundamentals are strengthening, with resilient economic activities, moderated inflation, comfortable current account deficit, and robust credit growth.

If the situation persists or improves further, we can anticipate a potential rate cut in the next monetary policy review.

Piyush Bothra, Co-founder and CFO, Square Yards

The Reserve Bank of India’s decision to maintain the status quo for the second time is a welcome move and in line with the expectations. This affirms the view that interest rates will only have one direction which is downwards. This is a big positive for the home buyer as they know that their EMIs down the line will only decrease further. A lot of fence sitters are expected to jump in, and the developers are likely to cash in on this pent-up demand. We firmly believe that we are at the beginning of a multi-year real estate bull market buoyed by high disposable incomes, high affordability and moderate-to-low interest rates.