India’s Gold Demand Shifts: Investment ETFs Hit Record 20 Tonnes, Jewellery Falls 17% in H1 2026

SC to Hear PIL Against 0.4% MDR on UPI Transactions Over ₹2000 from Oct 15

The Supreme Court will hear a PIL on September 28, 2026 challenging the government's decision to impose a 0.4% Merchant Discount Rate (MDR) on UPI person-to-merchant transactions above ₹2,000, effective October 15. The PIL alleges the framework lacks transparency and is arbitrary, questioning amendments to Section 10A of the Payment and Settlement Systems Act.

JCRA Upgrades India's Sovereign Rating to A- on 7.7% GDP Growth, NPA Ratio Falls to 1.8%

Japan Credit Rating Agency (JCRA) upgraded India's sovereign rating to A- from BBB+, citing strong economic growth of 7.7% in FY2026, robust private consumption, public investment, and improvements in the banking sector. The upgrade reflects India's sustained growth trajectory and enhanced financial stability, with gross NPA ratio falling to 1.8% due to IBC and RBI supervision.

RBI MPC Status Quo at 5.25% as CPI Inflation Rises to 4.8%, WPI at 9.92%

Retail inflation rose to 4.8% in August 2026, with food inflation at 5.95% and WPI at 9.92%. Broad-based price pressures strengthen the case for an RBI rate hike, despite the MPC keeping repo rate unchanged at 5.25% in August. This is critical for understanding monetary policy direction and the inflation targeting framework.

IIP August 2026: Manufacturing Output Rises 9%, Consumer Durables Up 11.1%

India's industrial output (IIP) grew 8% in August 2026, driven by manufacturing (9% growth) and a favourable base effect from pre-GST rate cut inventory adjustments in 2025. While consumer durables posted strong 11.1% growth, the slow 2.1% rise in non-durables signals weak rural/FMCG demand, a key concern for the upcoming festive season.

RBI Resumes UCB Licensing After 2 Decades: ₹300 Cr Capital, 12% CAR Mandated

RBI has ended its two-decade-long moratorium on issuing new licenses to Urban Cooperative Banks (UCBs) with a stringent on-tap framework. The new policy mandates a minimum capital of ₹300 crore, a capital adequacy ratio of 12%, and a net NPA of less than 3% to ensure only strong, well-governed entities enter the sector, aiming to deepen financial inclusion for MSMEs.

Japan Credit Rating Agency Upgrades India's Sovereign Rating to 'A-' After 35 Years

Japan Credit Rating Agency (JCRA) upgraded India's sovereign credit rating to 'A-' from 'BBB+' after over 35 years, reflecting strong growth and policy credibility. This lowers India's borrowing costs and signals improved fiscal health, directly impacting taxpayer money and investor confidence.

Global Agencies Upgrade India GDP Forecast to ~7%, RBI May Hike Repo Rate 25 bps as Inflation Pressures Build

Multiple global agencies (ADB, S&P, OECD, Moody's) have raised India's FY26 growth forecast to around 7%, driven by strong IIP, capex, and exports. However, inflation is expected to average 5.1% and the RBI may raise its policy rate by 25 bps, with farm sector risks from El Niño adding to uncertainty.

IIP Growth Hits 7.3% in June 2026, Highest in 23 Months; Consumer Demand Weak

India's IIP grew 7.3% YoY in June 2026, the highest in 23 months. However, the growth is driven by capital and infrastructure goods due to government spending, while consumer goods (especially non-durables) show weakness, highlighting a demand-side slowdown amid high prices.