[ad_1]
Uttar Pradesh, despite having the second-lowest per capita income in the country, has emerged as one of the best-managed states financially, Chairman of the 16th Finance Commission Arvind Panagariya said on Wednesday.Speaking at a press conference at Lok Bhawan during the Commission’s visit to the state capital, Panagariya said the panel was briefed on UP’s economic reforms, demographic shifts, fiscal performance, and development achievements, as reported PTI.“All in all, Uttar Pradesh is a well-run state. Its tax collection as a proportion of GSDP is among the highest in the country,” he said, following meetings with Chief Minister Yogi Adityanath, Chief Secretary Manoj Kumar Singh, and senior state officials.“Indeed, one would like to see other states be able to do the tax collection as the proportional GSDP to the tune of what UP can do, which will go a long way towards solving the revenue problems of the other states as well,” Panagariya added.He praised the state’s financial discipline, stating that its expenditures are well-planned and within budget limits, while fiscal deficits are also maintained within the prescribed norms.“Its expenditures are also well designed and well within its budgets,” he noted. “Its fiscal deficits are well within the usual limits.”According to Panagariya, Uttar Pradesh benefits from two major fiscal advantages – strong own-tax revenue collections and favourable treatment under the Finance Commission’s horizontal devolution formula, which tends to favour states with lower per capita income.“On finances, UP has a double advantage. One, its own tax collections (SGST, excise, etc) are good. The second is, finance commissions are traditionally also, in horizontal devolution, give more weight to poorer states which have lower per capita income. UP has the second-lowest per capita income after Bihar, which has the lowest. That also works to UP’s advantage,” he explained.Acknowledging the state’s prudent financial strategy, he said, “Good finances can also be squandered, but that’s not the case with UP. It has prudently managed its finances.”He added that the state’s debt-to-GDP ratio remains well within manageable levels, enabling more room for development spending rather than debt servicing.“Its debt-to-GDP ratio is also very much within manageable levels. That, of course, makes its finances a little more comfortable because if you have very large debt, then a substantial part of your expenditures ends up being devoted to the interest payment of that debt,” he said.Panagariya also issued a caution regarding high public debt, noting that while current governments may not face immediate consequences, the burden often falls on future administrations.“If you have very high debt, then the government which runs that high debt may not suffer, but future governments end up suffering when you end up creating liabilities for the future,” he said.During the press interaction, he reiterated that Uttar Pradesh, like more than 22 other states, has called for an increase in the states’ share of tax revenue from the current 41 per cent to 50 per cent. The state has also sought special funds for targeted development initiatives.The 16th Finance Commission, constituted on December 31, 2023, under Article 280 of the Constitution, is tasked with recommending the distribution of tax revenues between the Centre and the states for the five-year period beginning April 1, 2026. The Commission is scheduled to submit its report by October 31, 2025, with its recommendations applicable from 2026-27 to 2030-31.
[ad_2]
Source link
About the author
Modi’s Asia Double Play: Japan Now, China Next — What India Wants (and Risks)
ndia has kicked off a tightly choreographed Asia tour at a delicate moment. Prime Minister Narendra Modi is in Tokyo first, meeting Japan’s Prime Minister Shigeru Ishiba, before flying to Tianjin for the SCO summit hosted by China. The sequencing matters: Japan is a steadfast strategic and economic partner; China is a rival with whom India still needs a functional modus vivendi. The backdrop? Up to 50% US tariffs on Indian exports, which raise the premium on diversified trade and investment ties. ReutersAP NewsThe Times of IndiaThe Guardian Why Japan first Tokyo and New Delhi are doubling down on a “special strategic and global partnership” built over two decades. Expect deliverables in economic security (critical minerals, supply chains), high-tech collaboration, and infrastructure. Reports suggest the leaders are setting a decade-long joint vision and pushing private-sector investment goals alongside people-to-people exchanges […]
Luxury skincare expansion: L’Oreal acquires majority stake in Medik8; announces 1 billion Euro deal
[ad_1] Cosmetics maker L’Oreal agreed to acquire a majority stake in British skincare brand Medik8, in a strategic move to strengthen its presence in the booming skincare market. The French beauty giant announced the deal on Monday, though financial terms were not disclosed.The transaction, which sees UK-based private equity firm Inflexion selling its majority holding, reportedly values Medik8 at around 1 billion Euro, according to a source familiar with the matter. Inflexion will retain a minority share, while L’Oreal has secured the option to eventually buy out all remaining shareholders, Reuters reported.“We are delighted to welcome Medik8 to the L’Oréal family. As a premium skincare range, with high levels of proven efficacy at an accessible price point, Medik8 perfectly complements our existing skincare portfolio,” Cyril Chaupuy, president of L’oreal Luxe said.“This acquisition further strengthens L’Oreal’s luxe portfolio, adding a premium […]
270 million pulled out of poverty! How Modi government achieved a remarkable dip in extreme poverty & what’s the road ahead? Explained
[ad_1] India’s GDP has more than doubled in the last decade, and experts believe that this has trickled down to the poorest. (AI image) Marking a big achievement over the last decade, extreme poverty in India has dropped substantially from 27.1% in 2011-12 to 5.3% in 2022-23, according to the latest World Bank data. The remarkable progress under the Narendra Modi government has come despite the World Bank raising its poverty threshold to $3 per person per day from $2.15 per person per day earlier.Incidentally, India’s huge reduction in extreme poverty comes at a time when globally there has been an increase in the number of people below the poverty line. According to a government fact sheet, India has emerged a statistical outlier in the positive direction.The latest data is being seen as a boost in the government’s economic growth […]
Ayodhya land prices: Circle rates revised first time in 8 years; soar up to 200%
[ad_1] For the first time in eight years, Ayodhya has seen a sharp revision in its circle rates, with property prices rising between 30% and 200% across various parts of the district, officials told PTI.The prices are particularly steep within a 10-kilometre radius of the Ram Janmabhoomi Temple, an area witnessing a real estate boom fuelled by religious tourism and rapid infrastructure growth. Here, circle rates have jumped over 150%, pushing land values in the prime zone to Rs 26,600–27,900 per square metre, compared to Rs 6,650–6,975 earlier.Shanti Bhushan Chaubey, sub-registrar of Sadar (Faizabad) tehsil, said the hike followed a proposal submitted last September. “After addressing objections, the new circle rates were approved by District Magistrate Tikaram Funde and have now been enforced,” he said.According to Chaubey, the sharpest hikes were recorded in areas with the most land activity. “Localities […]
China exports: Global shipments rose 4.8% in May; inflow to US falls nearly 35% amid trade talks
[ad_1] China’s export growth lost momentum in May, rising 4.8% year-on-year, a sharp slowdown from the 8.1% surge recorded in April, as per the customs data released on Monday.The deceleration came amid a sharp drop in shipments to the United States, down 35% year-on-year, as tensions between the two economic giants continued to cloud trade prospects.The figures were released just hours ahead of another round of US-China trade negotiations scheduled for later in the day, in London. These talks come after a phone call between US President Donald Trump and Chinese President Xi Jinping last week. Zichun Huang of Capital Economics anticipated exports growth to revive in June, thanks to a 90-day suspension on most of the tariffs the two countries have imposed on each other.China’s imports also fell in May, down 3.4% year-on-year, leaving the country with a trade […]
Tata Motors future plans: Rs 33,000-35,000 crore investment to boost passenger vehicles; hoping to lead in EV segment
[ad_1] Automaking giant Tata Motors is planning massive investment plans for the future, earmarking Rs 33,000 crore to Rs 35,000 crore for FY 26-30 on product actions. The Mumbai-headquartered company is targeting 30 product actions, including the launch of seven new models, as it looks to sharpen its competitive edge in India’s fast-evolving passenger vehicle (PV) market.As part of its long-term strategy, the automaker aims to secure a 16% market share, including electric vehicles (EVs), by FY27, rising to 18–20% over the next few years. Tata Motors expects the domestic PV industry to hit annual sales of 60 lakh units by 2030 and is positioning itself to ride that wave with a refreshed and expansive portfolio.“Looking ahead, we will strengthen our portfolio by FY30...7 new nameplates and 23 product refreshes will holistically enhance the portfolio,” the company told analysts in […]
Related
US Tariffs vs. India’s Trade Diplomacy: How New Alliances Are Shaping
India’s global trade playbook has shifted abruptly in 2025. The US recently imposed tariffs as high as 50% on Indian exports, citing New Delhi’s continued oil imports from Russia. The immediate fallout was brutal: the rupee sank to a record low, and Indian markets felt the shock. For a country that built its post-1991 trajectory on closer US ties, this tariff punch could have been destabilising. Instead, India is doubling down on multi-alignment diplomacy — diversifying trade and diplomatic engagement with Japan, China, Russia, and the SCO bloc. Why tariffs hit hard The US remains a top destination for Indian goods — from IT services to textiles. Tariffs of this magnitude erode competitiveness and raise uncertainty for exporters. Analysts warn of job impacts in labour-intensive sectors. The rupee’s plunge to historic lows only underscored the vulnerability. India’s counter-strategy Japan: Securing […]
Reliance AGM 2025: Jio IPO Timeline, New AI Subsidiary, and What It Means
Reliance Industries’ AGM has again doubled as India’s tech-policy bellwether. The biggest headline: Jio will file for an IPO in the first half of 2026, a move that could be among the largest listings on Dalal Street and a pivotal unlock of value for Reliance shareholders. In parallel, the company announced a dedicated AI subsidiary aimed at building domestic AI infrastructure and services. Reutersmint+1NDTV Profit Jio IPO: Why the timing matters Analysts have long argued that Jio’s value is partially buried within the conglomerate structure. A separate listing could surface value for a digital-and-telecom pure play with 500M+ users, deep fiber, and growing home broadband. International coverage pegs potential valuations in the eleven-digit-USD range if growth and ARPU trends hold through 2026. The listing window — H1 2026 — provides time to polish metrics, expand revenue lines (enterprise, broadband, OTT), […]
E20 Petrol in India: Green Revolution or Hidden Scam?
For the past few years, India has been pushing hard towards adopting alternative fuels and reducing its dependency on imported crude oil. One of the most talked-about initiatives is the rollout of E20 petrol, which is a blend of 80% petrol and 20% ethanol. On paper, this looks like a revolutionary step — it’s designed to reduce carbon emissions, cut down fuel imports, and boost ethanol demand that directly benefits Indian farmers. But there’s a rising question among common people: If E20 petrol contains only 80% petrol, why are we still paying the same price as regular petrol? Shouldn’t the price be lower since 20% of the mix is ethanol, which is significantly cheaper to produce compared to crude oil-based petrol? This is where many start suspecting that the promotion of E20 might not be as transparent as it seems. […]
Luxury skincare expansion: L’Oreal acquires majority stake in Medik8; announces 1 billion Euro deal
[ad_1] Cosmetics maker L’Oreal agreed to acquire a majority stake in British skincare brand Medik8, in a strategic move to strengthen its presence in the booming skincare market. The French beauty giant announced the deal on Monday, though financial terms were not disclosed.The transaction, which sees UK-based private equity firm Inflexion selling its majority holding, reportedly values Medik8 at around 1 billion Euro, according to a source familiar with the matter. Inflexion will retain a minority share, while L’Oreal has secured the option to eventually buy out all remaining shareholders, Reuters reported.“We are delighted to welcome Medik8 to the L’Oréal family. As a premium skincare range, with high levels of proven efficacy at an accessible price point, Medik8 perfectly complements our existing skincare portfolio,” Cyril Chaupuy, president of L’oreal Luxe said.“This acquisition further strengthens L’Oreal’s luxe portfolio, adding a premium […]
270 million pulled out of poverty! How Modi government achieved a remarkable dip in extreme poverty & what’s the road ahead? Explained
[ad_1] India’s GDP has more than doubled in the last decade, and experts believe that this has trickled down to the poorest. (AI image) Marking a big achievement over the last decade, extreme poverty in India has dropped substantially from 27.1% in 2011-12 to 5.3% in 2022-23, according to the latest World Bank data. The remarkable progress under the Narendra Modi government has come despite the World Bank raising its poverty threshold to $3 per person per day from $2.15 per person per day earlier.Incidentally, India’s huge reduction in extreme poverty comes at a time when globally there has been an increase in the number of people below the poverty line. According to a government fact sheet, India has emerged a statistical outlier in the positive direction.The latest data is being seen as a boost in the government’s economic growth […]
Ayodhya land prices: Circle rates revised first time in 8 years; soar up to 200%
[ad_1] For the first time in eight years, Ayodhya has seen a sharp revision in its circle rates, with property prices rising between 30% and 200% across various parts of the district, officials told PTI.The prices are particularly steep within a 10-kilometre radius of the Ram Janmabhoomi Temple, an area witnessing a real estate boom fuelled by religious tourism and rapid infrastructure growth. Here, circle rates have jumped over 150%, pushing land values in the prime zone to Rs 26,600–27,900 per square metre, compared to Rs 6,650–6,975 earlier.Shanti Bhushan Chaubey, sub-registrar of Sadar (Faizabad) tehsil, said the hike followed a proposal submitted last September. “After addressing objections, the new circle rates were approved by District Magistrate Tikaram Funde and have now been enforced,” he said.According to Chaubey, the sharpest hikes were recorded in areas with the most land activity. “Localities […]
Be the first to leave a comment