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India's Supreme Court has rejected a plea to conduct a paper audit of votes in the country's ongoing national elections. Petitioners had requested that the Election Commission of India verify each electronic vote with a paper slip generated at the time of voting. Currently, the verification process involves tallying votes with voter-verified paper audit trails (VVPATs) from five randomly selected voting machines in each constituency. The court affirmed the reliability of the electronic voting machine (EVM) system but emphasized the importance of maintaining harmony and trust in democracy. Prime Minister Narendra Modi's party is seeking to extend its power, with the elections set to conclude on June 1. [Extracted from the article]

(Bloomberg) -- India's economy is likely moving into a low inflation regime as supply shocks fade and demand cools, according to a paper co-authored by Reserve Bank of India Deputy Governor Michael Patra. RBI's nowcast model suggested economic activities gathered momentum in February, and real gross domestic product growth for the January-March quarter could be around 5.4%, on track to recover from a surprising dip of 4.4% in the October-December quarter. [Extracted from the article]

(Bloomberg) -- India's national emissions trading system should begin operating within two years and could cover about 15% of the country's emissions by 2030, according to an official involved in the preparations. Emissions trading will build on an existing system run by the bureau, where companies can trade energy savings beyond a prescribed mark, Bakre said. [Extracted from the article]

India's yield curve has been nearly flat even amid record borrowing by the government as insurers stepped up purchases of long-term bonds. (Bloomberg) -- India's auction of the debut 50-year bond met with strong demand Friday, underscoring growing interest from insurance and pension funds for ultra-long papers. [Extracted from the article]

(Bloomberg) -- The Indian central bank's decision in March to slash interest rates in an unscheduled meeting was the biggest surprise since a Monetary Policy Committee was set up four years ago, according to a new research paper. India's rate-setting panel is due to meet in the first week of August, having already cut the repo rate by 115 basis points so far this year as the economy heads toward its first annual contraction in more than four decades. [Extracted from the article]

The Reserve Bank of India in September said it plans to add the 50-year bond in response to market demand for ultra-long papers, extending the nation's yield curve. The nation's burgeoning life insurance and pension fund industries, driven by an expanding middle class, are changing the landscape for India's $1 trillion sovereign debt market. [Extracted from the article]

To contact the reporters on this story: Kartikay Mehrotra in New Delhi at kmehrotra2@bloomberg.net; Debjit Chakraborty in New Delhi at dchakrabor10@bloomberg.net The men were detained in New Delhi after a night-time police sting operation at the Oil Ministry on Feb. 17 detected the theft. [Extracted from the article]

The article reports on the new self reproducing and inexhaustible source of cellulose which has been found in the bamboo forests of India and can be used for making paper, in place of wood pulp.

(Bloomberg) -- India's record more than $600 billion of foreign exchange reserves might not be good enough, as it falls short on some measures including import cover and liability outflows, according to a new research from the central bank. "While foreign exchange reserves provide cushions against unforeseen external shocks, levels are often deceptive", Reserve Bank of India researchers, led by Deputy Governor Michael Debabrata Patra, wrote in the latest monthly bulletin. [Extracted from the article]

SBI Pension Funds Pvt., which manages $50 billion in assets, is considering investing in corporate and state debt due to the narrowing spreads on longer-maturity Indian government bonds. The fund's chief investment officer, Sandeep Pandey, expressed concern that the lack of term premium for longer-dated securities could impact returns for subscribers. Demand for longer-tenor papers has increased, leading to a compression in the spread between 10-year and 30-year bonds. The fund currently holds a portfolio of about one trillion rupees in corporate paper and 2.5 trillion rupees in sovereign and state debt. [Extracted from the article]

The article reports on the first newsprint mill in India in 1950 that will be powered by electric motor from Westinghouse Electric Corp.

"Most of the banking system is replacing sovereign debt with state-development loans or credit", said Srinivas Varadarajan, treasury head at the Indian unit of Deutsche Bank. "It makes sense to sell a government bond at 7.5 percent and buy a state development loan at 8.2-8.3 percent, or give the money out as a loan", Mumbai-based Varadarajan said. [Extracted from the article]

India's government has launched a criminal investigation into allegations of cheating and corruption in national entrance exams for medical colleges. The Central Bureau of Investigation will probe alleged irregularities, including conspiracy, cheating, impersonation, breach of trust, and destruction of evidence. The director general of the National Testing Agency has been replaced, and there have been protests by students demanding the cancellation of the exams. The scandal has raised questions about the entire testing system in India. [Extracted from the article]

(Bloomberg Gadfly) -- India's King Cash Must Abdicate to Fintech Knights: Gadfly A unified payments interface, which is now live, will enable instant movement of cash from one mobile phone to another, using virtual payment addresses linked to any account at 21 participating banks. [Extracted from the article]

Warren Buffett, Berkshire's chairman and chief executive officer, wasn't directly involved in the investment in One97 Communications Ltd., his assistant, Debbie Bosanek, said Monday in an email. One97, founded by billionaire Vijay Shekhar Sharma, runs the Paytm brand and is the leading player in India's booming digital-payments market. [Extracted from the article]

(Bloomberg) -- A hawkish pivot by the Indian central bank has money managers scurrying to find safer bets while bracing for potentially the steepest rate hikes in Asia. The yield spread between three-year government papers and similar top-rated company bonds had turned negative in April from around 87 basis points in August, according to Bloomberg data. Yields have risen, and stocks pared gains since the Reserve Bank of India shifted focus to inflation from growth in April and indirectly tightened policy by introducing a higher floor interest rate. [Extracted from the article]

Singapore Exchange said to exit BSE by tendering 5% holding The BSE Ltd., Asia's oldest stock exchange, will file a draft document for an initial share sale with the regulator in a few days, according to people familiar with the matter. [Extracted from the article]

Modi set up probe to investigate citizens named in reports In 2004, India's central bank allowed companies to invest up to 100 percent of their net worth in certain companies overseas by scrapping a cap of $100 million. Gehlaut said he made overseas investments after paying full taxes in India, every remittance was recorded with the central bank and all disclosures related to the investments are made in annual reports to the Reserve Bank of India and income tax authorities. [Extracted from the article]

Exporters, facing liquidity issues, receive short-term relief Indian exporters were facing liquidity issues, Jaitley said, noting the government would start refunding exporters for July and August from Oct. 10. [Extracted from the article]

FDA quizzes three companies about potential quality breaches The problems the FDA has found at Indian manufacturers are similar to those found around the world, and the regulator will work with companies to correct them, the FDA's Meyer said. [Extracted from the article]

The yield spread between three-year government papers and similar top-rated company bonds had turned negative in April from around 87 basis points in August, according to Bloomberg data. (Bloomberg) -- A hawkish pivot by the Indian central bank has money managers scurrying to find safer bets while bracing for potentially the steepest rate hikes in Asia. Yields have risen, and stocks pared gains since the Reserve Bank of India shifted focus to inflation from growth in April and indirectly tightened policy by introducing a higher floor interest rate. [Extracted from the article]

India is reportedly in discussions with Norway's Equinor ASA for its involvement in India's strategic petroleum reserves and for long-term liquefied natural gas (LNG) agreements. This potential partnership with Equinor would be India's second such deal, following a similar contract with Abu Dhabi National Oil Co. India is also seeking Equinor's participation in its exploration and production program. The country is actively engaging with multiple LNG suppliers, including Equinor, to secure long-term supply contracts and strengthen its future gas imports. The article did not provide any responses from India's energy ministry or Equinor. [Extracted from the article]

(Bloomberg) -- India's central bank has suggested changes to the valuation of bank investments, including relaxing rules on a key class of long-term investments that are shielded from frequent valuation changes, but tightening those on shifting securities between classes. A Reserve Bank of India discussion paper released late Friday suggests removing caps on the Held-To-Maturity (HTM) class of securities, and allowing more types of instruments to be held within them. [Extracted from the article]

(Bloomberg) -- Insurers in India are lining up to grab a share of the nation's debut 50-year bond offering, highlighting the growing heft of long-term investors in the nation's $1 trillion debt market. Even as the government is borrowing a record 15.43 trillion rupees of bonds in the current fiscal year, bonds in India have been relatively less volatile compared to their US counterparts, partly due to higher demand from insurers and pension companies. [Extracted from the article]

IL&FS unit missed payment on commercial papers in August While it settled the obligations in full within days, the default triggered a central bank rule that bans delinquent issuers from the commercial paper market for six months. Issuance of commercial papers rose almost 50 percent from the previous year to a record 4.9 trillion rupees in June quarter, according to ICRA, reflecting demand for shorter-term instruments as surging bond yields make long-term debt unattractive. [Extracted from the article]

(Bloomberg) -- India's central bank has suggestedfinancial institutions scale up green lending andvoluntarily set up green finance targets to mitigaterisks arising out of climate change. Banks need to put in place a mechanism at the board levelfor overseeing climate-risk initiatives, the discussionpaper said, adding that targets must be set forinvestment for sustainable finance. [Extracted from the article]

(Bloomberg) -- India's capital markets regulator proposes to seek more disclosures from foreign funds with large holdings in local stocks or companies, following criticism about lack of oversight over inflows into sprawling conglomerates such as the Adani Group. The Securities and Exchange Board of India in a consultation paper Wednesday defined "high-risk" foreign portfolio investors and said these funds must comply with additional disclosure requirements within six months after the norms are implemented. [Extracted from the article]

The Securities and Exchange Board of India in a consultation paper Wednesday defined "high-risk" foreign portfolio investors and said these funds must comply with additional disclosure requirements within six months after the norms are implemented. (Bloomberg) -- India's capital markets regulator proposes to seek more disclosures from foreign funds with large holdings in local stocks or companies, following criticism about lack of oversight over inflows into sprawling conglomerates such as the Adani Group. [Extracted from the article]

The Securities and Exchange Board of India in a consultation paper Wednesday defined "high-risk" foreign portfolio investors and said these funds must comply with additional disclosure requirements within six months after the norms are implemented. (Bloomberg) -- India's capital markets regulator proposes to seek more disclosures from foreign funds with large holdings in local stocks or companies, amid criticism about lack of oversight over inflows into sprawling conglomerates such as the Adani Group. India Proposes More Disclosures from "High-Risk" Foreign Funds. [Extracted from the article]

(Bloomberg) -- The massive gyrations in the global bond markets and the ongoing credit crisis in India are forcing money managers to seek liquidity in government bonds even as they eye top-rated corporate paper trading at high spreads to the sovereigns. The spread of three-year AAA-corporate paper over a similar tenor government bond stood at 106 basis points on Thursday after widening to 109 basis points a day earlier, the highest since October, Bloomberg data showed. Following are recommendations from some key asset managers: Tata Asset Management Bullish on the 6- and 13-year segment of the sovereign yield curve due to the spread available over respective benchmarks AAA state-companies' bonds are giving a spread of 70 to 100 basis points over govt bonds of different maturities. [Extracted from the article]

(Bloomberg) -- India's central bank is working toward a phased introduction of a digital currency and will put forth a final design after it has conducted large scale pilot projects. The Reserve Bank of India is exploring the option of implementation of an account-based central bank digital currency or CBDC for the wholesale segment and token-based currency for the retail sector, it said in a paper released on Friday. [Extracted from the article]

(Bloomberg) -- India's central bank is working towards a phased introduction of a digital currency and will put forth a final design after it has conducted large scale pilot projects. The Reserve Bank of India is exploring the option of implementation of an account-based central bank digital currency or CBDC for the wholesale segment and token-based currency for the retail sector, it said in a paper released on Friday. [Extracted from the article]

The Reserve Bank of India uses retail inflation as a benchmark to set borrowing costs and targets inflation between 2%-6%. (Bloomberg) -- India's retail inflation basket needs to be revised to improve the efficacy of monetary policy, according to a paper by a New Delhi-based economic policy think-tank. [Extracted from the article]

The Reserve Bank of India bought 100 billion rupees of the 6.64% 2035 bond at 6.5881% as against 6.58% estimated in a Bloomberg poll and purchased another 110 billion rupees of the 2026 bond at a 5.5442% yield. (Bloomberg) -- India's central bank sold a planned 320 billion rupees ($4.4 billion) of bonds at its weekly sale on Friday, with many traders expecting the monetary authority to buy off the stock later. [Extracted from the article]

Traders who wish to short Indian bonds need to use the CROMS platform to borrow the paper from banks against a short-tenor loan paying them as low as 0.01% at times of high demand. The 6.17% note maturing in 2021 was offered at a negative yield of around 1.5%, according to traders who saw the quote on the Clearing Corporation of India's Negotiated Dealing System -- Order Matching, or NDS-OM platform. [Extracted from the article]

(Bloomberg) -- Rushing to sell Indian state-run lenders to private investors may hinder the government's financial inclusion efforts and monetary policy transmission, staff at the country's central bank warned. "A big bang approach of privatization of these banks may do more harm than good", wrote staff including, Snehal Herwadkar, in a research paper published Thursday. [Extracted from the article]

The spread of three-year AAA-corporate paper over a similar tenor government bond stood at 105 basis points on Wednesday after widening to 109 basis points a day earlier, the highest since October, Bloomberg data showed. AAA state-companies' bonds are giving a spread of 70 to 100 basis points over govt bonds of different maturities. Prefer these high-quality bonds over sovereigns as the supply of government debt will increase from next fiscal year and top-rated state firms' bond supply may taper off. [Extracted from the article]

Infrastructure Leasing & Financial Services Ltd., an Indian shadow banker that defaulted on its commercial paper obligation earlier this year, missed payments again on Friday. IL&FS's outstanding debentures and commercial paper accounted for 1 percent and 2 percent, respectively, of India's domestic corporate debt market as of March 31, according to Moody's Investor Services. [Extracted from the article]

IL&FS's commercial paper is 2% of market in India: Moody's IL&FS's outstanding debentures and commercial paper accounted for 1 percent and 2 percent, respectively, of India's domestic corporate debt market as of March 31, according to Moody's Investor Services. [Extracted from the article]

India's central bank, the Reserve Bank of India (RBI), has stated that it is more important to focus on reducing inflation to the target of 4% rather than easing monetary policy to stimulate short-term economic growth. The RBI warns that deviating from its commitment to fight inflation could lead to a loss of credibility, increased inflation, and a negative impact on sustainable growth. Inflation in June reached a four-month high of 5.08%, above the RBI's target. The RBI attributes high inflation to persistent increases in food prices, particularly vegetable prices. However, the central bank notes that economic momentum is improving, with good monsoon rains boosting agricultural activity and rural spending. A separate study by RBI staff found that India's natural rate of interest, the rate at which the economy can grow without fueling inflation, has increased to 1.4%-1.9% from 0.8%-1.0% during the pandemic period. The study suggests that the current policy rate is neutral, but some policymakers argue that a high real interest rate is not conducive to growth. [Extracted from the article]

India's capital market regulator, the Securities and Exchange Board of India (SEBI), is proposing the introduction of hedge fund-like products for retail investors. This move aims to address the proliferation of unauthorized investment products and provide a middle ground between traditional mutual funds and discretionary portfolio management services. The proposed products, which include long-short strategies and inverse exchange-traded funds, would allow asset managers to pool investments from retail investors. SEBI is seeking public comments on the proposal until August 6th and is considering a minimum investment of 1 million rupees ($11,964) for these products. [Extracted from the article]

(Bloomberg) -- India's market regulator proposed new rules that put the burden of proof on the accused in some cases of insider trading, front running and similar violations, as use of encrypted or disappearing communication and untraceable funding arrangements impede the watchdog's ability to make and win cases. Globalized money trails and tech innovations have prompted more lawmakers and regulators to make such moves, said Amit Desai, a criminal defense lawyer. [Extracted from the article]

The weighted average call rate, which the Reserve Bank of India closely monitors, has held above the policy rate for most of the past month and even breached the emergency funding rate of 6.75% on some days. Yields on shorter commercial paper declined between five and 10 basis points while rates on treasury bills also retreated in secondary trading, traders said. (Bloomberg) -- India's shorter bonds rallied and money market rates eased on bets that a withdrawal of the nation's highest value currency note would leave banks with surplus cash to invest. [Extracted from the article]

Yields on shorter commercial paper declined between five and 10 basis points while rates on treasury bills also retreated in secondary trading, traders said. The weighted average call rate, which the Reserve Bank of India closely monitors, has held above the policy rate for most of the past month and even breached the emergency funding rate of 6.75% on some days. (Bloomberg) -- India's shorter bonds rallied and money market rates eased on bets that a withdrawal of the nation's highest value currency note would leave banks with surplus cash to invest. [Extracted from the article]

(Bloomberg) -- India may sell as much as 250 billion rupees ($3 billion) of green bonds in the next fiscal year and plans to include longer maturity debt to the offering, according to people familiar with the matter. While the finance ministry has assumed green issuances at 1.6% of the overall borrowing of 15.43 trillion rupees next year, the officials said that the actual offering would depend on demand. [Extracted from the article]

India is experiencing a surge in initial public offerings (IPOs), with smaller deals dominating the market at the beginning of the year. However, larger IPOs are expected to follow, providing more options for global investors. Citigroup predicts that there will be four to five IPOs worth at least $1 billion each in the next year, while at least 10 companies are considering offerings of over $100 million. Factors contributing to this trend include the strong performance of Indian stocks, solid economic growth, and better-than-expected earnings. The upcoming election results in June will also provide clarity and stability for companies considering going public. Some potential issuers include e-commerce startup BrainBees Solutions Ltd., hypermarket operator Vishal Mega Mart, and ride-hailing app Ola Cabs. Mutual funds have emerged as key investors in IPOs, with the growing size of their investments supporting the appetite for larger IPOs. Despite recent volatility due to election jitters, Indian stocks have outperformed emerging market peers, and with Prime Minister Narendra Modi expected to secure a third term, optimism remains high. [Extracted from the article]

While recent financial incentives under Modi offered Apple a cost-efficient path to set up shop in India, the California-based company is still making a fraction of its iPhones in the nation. (Bloomberg) -- On paper, India's chances of attracting global manufacturers look rosy. [Extracted from the article]

(Bloomberg) -- India announced a fiscal first-half borrowingplan largely in line with expectations, a move likely to comforta bond market facing near-record debt sales. The market still has to contend with a large supply of bonds inthe fiscal year starting April, adding to a glut of paper mademore unappealing by rising U.S. yields. [Extracted from the article]