Vietnam saw a trade surplus of $14.08 billion in the first seven months of this year, the General Statistics Office said on Monday.

The office reported that during the cited period, total import-export turnover of goods hit $439.88 billion, up 17.1 per cent year-on-year, with exports increasing 15.7 per cent and imports surging 18.5 per cent compared to the same period last year, Xinhua news agency reported.

The domestic sector saw a trade deficit of $14.92 billion, and the foreign-invested sector (including crude oil) posted a trade surplus of $29 billion.

China was Vietnam’s largest import market for the cited period with a turnover estimated at $79.2 billion, the report said.

The export revenue of Vietnam’s industrial processing sector reached $199.94 billion in the seven months, accounting for 88.1 per cent of the total, according to the office. AGENCIES

Delhi-NCR is the fifth most expensive office space rental market in the Asia-Pacific (APAC) region, as transactions across the three major markets in India saw a notable 50 per cent increase in the second quarter (Q2) of 2024, a report showed on Monday.

Prime office rents remained steady in Delhi-NCR, Mumbai and Bengaluru, according to the Knight Frank APAC Prime Office Rental Index.

“The prime office market in Delhi-NCR has sustained rental values consistently over the past six quarters. With a prime office rent of Rs 340 per square ft a month, it ranks as the fifth most expensive office market in the APAC region,” the report mentioned.

Bengaluru retained its position as the leading destination among the three Indian cities, with 4.9 million square feet leased in Q2 2024.

The leadership teams actively encouraging employees to return to office has also positively impacted the transaction volumes in the market, according to the report.

The majority of transactions were driven by India-facing businesses, reflecting a sustained strategic interest in the country’s consumer markets and its skilled labour pool.

India’s office space market has seen a surge in global corporate interest, reflecting the country’s status as one of the fastest-growing large economies.

“This has led to record-high transaction volumes in the first half of the year 2024, with a 33 per cent rise YoY, driven by Indian businesses and GCCs (global capability centres). Rental rates have remained steady in the three major occupier markets,” said Shishir Baijal, Chairman and Managing Director, Knight Frank India.

Hong Kong continued to be APAC’s most expensive office market during the quarter.

In Mumbai, the prime office rent of the city was recorded at Rs 302 sq ft a month, ranking it as the eighth most expensive commercial market in the APAC region. In Bengaluru, prime office rent in the city was recorded at Rs 137 sq ft a month. AGENCIES

Engineering goods exports went up 4.34 per cent to $27.93 billion in the April-June quarter (year-on-year), from $26.77 billion in the same period a year ago, a report said on Monday.

Among the top destinations of Indian engineering goods, shipments to countries such as the US, UAE, Saudi Arabia and the UK increased during the June quarter of the current fiscal, according to EEPC India.

Indian engineering exports in May bounced back and then recorded double-digit growth in June at 10.27 per cent (on-year).

Engineering exports in June rose to $9.39 billion from $8.52 billion in June last year.

“The Free Trade Agreement (FTA) with the UAE has proved beneficial for the engineering export community and we feel that the ongoing FTA negotiations with GCC once concluded would further favour the community,” said Arun Kumar Garodia, Chairman, EEPC India.

The global goods trade in the first quarter of 2024 increased by 1 per cent (year-on-year) and is expected to rise further in the coming months.

“This would be favourable for India’s exporting community too,” Garodia added.

Engineering exports to the UAE and Saudi Arabia rose 38.2 per cent and 42.4 per cent to $1.99 billion and $1.4 billion, respectively.

Engineering exports to the US grew 8.2 per cent to $4.65 billion in the quarter, as compared to $4.3 billion in the corresponding period of FY2023-24.

Engineering exports to the UK jumped 21 per cent year-on-year to $1.01 billion during this period, according to EEPC India.

Notably, engineering exports to China grew 10.4 per cent (on-year) to $619.2 million in the June quarter of the current financial year.

The Union Budget 2024-25 has announced some very favourable measures for the uplift of MSMEs in the country.

“Other moves such as setting up e-commerce export hubs in the PPP model or favourable customs duty policies would immensely help the exporting community. Investment-grade energy audits across 60 traditional industry clusters will enhance operational efficiency and reduce carbon emissions, aligning with the EU’s CBAM requirements,” said Garodia.

As many as 23 out of 34 engineering panels recorded positive growth in Q1.

The growth in engineering exports in June was attributed to a decent rise in shipments of electrical machinery, motor vehicles/cars, products of iron and steel, auto components and parts, and industrial machinery, among others.

According to EEPC India, excluding the export of iron and steel, engineering exports recorded a much higher growth both on a monthly as well as a cumulative basis. AGENCIES

Maruti Suzuki India on Monday said that it sold more than two lakh Grand Vitara cars in just 23 months, setting a new benchmark in the mid-SUV space.

The leading automaker said that it achieved the one lakh unit sales milestone in a year and added the next one lakh customers in a record period.

Launched in 2022, the model has pioneered a new era of SUVs, as ‘Strong Hybrid’ and ‘S-CNG’ variants witness a high demand, said the company.

“The Grand Vitara has revolutionised its segment by inspiring customers to make sustainable choices with the Strong Hybrid. The ‘ALLGRIP’ technology has also resonated well with SUV lovers,” said Partho Banerjee, Senior Executive Officer, Marketing and Sales, Maruti Suzuki India.

“With a market share of 12 per cent in Q1 FY24, the Grand Vitara has not only established our credentials in the hyperactive mid-SUV segment but has also played a crucial role in growing the segment,” he added.

Meanwhile, India’s automobile exports registered a robust 15.5 per cent growth in the April-June quarter.

According to the Society of Indian Automobile Manufacturers (SIAM), Market leader Maruti Suzuki India accounted for the highest exports with 69,962 vehicles during the quarter, up from 62,857 units in the same period last year.

Earlier this month, Maruti Suzuki India said that it is expanding the accelerator programme to include global startups, as it aims to further support the government’s ‘Make in India’ and ‘Startup India’ initiatives. AGENCIES

Hiring for the power and energy sector in India is surging 9.01 per cent in H1 FY25, indicating a move towards a low-carbon future, driven by significant government initiatives, according to a report on Monday.

The employment outlook report, by TeamLease Services — a staffing company — showcases changes in employment for the period between April-September 2024-25 based on a survey of 1,417 employers across 23 industries.

It showed that 62 per cent of respondents plan to expand their workforce, 20 per cent anticipate reductions, and 18 per cent expect no change for HY1 FY25.

In the power and energy sector, Delhi leads existing job locations at 56 per cent, followed by Bengaluru at 53 per cent and Mumbai at 52 per cent.

Jaipur is a frontrunner for new job locations at 14 per cent, with Bengaluru, Chennai, and Vadodara tied at 13 per cent.

This trend highlights growth in established metros while showcasing emerging opportunities in tier-2 cities, likely driven by infrastructure development, policy incentives, and renewable energy expansion, the report said.

The report comes as India’s energy sector is undergoing a significant transformation in line with the nation’s commitment to achieving net-zero emissions by 2070.

The country has set ambitious targets for 2030, including reducing GDP emission intensity by 45 per cent and achieving 50 per cent cumulative electric power installed capacity non-fossil fuel-based energy sources. 

“The impressive 9.01 per cent net employment change in the power and energy sector signifies a clear path towards a greener future. With 62 per cent of industry participants expanding their workforce and leading cities such as Delhi, Bengaluru, and Mumbai driving this change, we have observed a remarkable shift in energy production and consumption,” said Subburathinam P, Chief Strategy Officer, TeamLease Services.

“The growing focus on green energy initiatives, industry 4.0, and systemic decarbonisation is propelling workforce growth in the power and energy industry. This progress is not only paving the way for achieving environmental goals but also boosting economic growth through job creation,” he added.

Further, the report showed that engineering positions are in the highest demand within the sector, with 67 per cent of respondents indicating growth. Sales roles follow at 60 per cent, demonstrating the sector’s focus on expanding market reach while enhancing technical capabilities.

The report emphasised the critical role of green energy initiatives, industry 4.0 advancements, and systemic decarbonisation in accelerating power and energy sector workforce expansion. AGENCIES

 Electric vehicle (EV) and clean energy startup Simple Energy on Monday announced it has secured $20 million in its Series A funding to scale up local production.

The funding round saw participation from current investors, such as high-net-worth individuals (HNIs) from Haran family office, Dr A Velumani’s family office, Vasavi family office, and the Desai Family office (the promoter group of Apar Industries), among others.

“As the adoption of EVs accelerates significantly in India, we are committed to playing a pivotal role in this burgeoning ecosystem,” said Suhas Rajkumar, Founder and CEO of Simple Energy.

The capital raised will be tactically deployed to bolster “our production capacity and expand our dealership network nationwide,” he added.

The startup aims to achieve a top-line of Rs 150 crore this fiscal.

Founded in 2019, Simple Energy has a motor manufacturing unit within its 200,000 square feet plant located in Shoolagiri, Tamil Nadu.

It offers ‘Simple One’ with 212 kms of certified range and ‘Simple Dot One’ electric two-wheelers with 151 kms of certified range.

Currently in a pilot phase in Bengaluru, the startup has begun deliveries in the city, and is preparing to open dealership stores in other regions.

“With a clear vision and a strategic roadmap mapped out for the next phase of growth, Simple Energy is primed to redefine the landscape of technologically advanced EV two-wheelers in India and beyond,” said Balamurugan Arumugam, Chief Growth Officer at Klarity, an HNI who participated in the round. AGENCIES

Hyundai Motor and Kia, South Korea’s leading automotive companies, on Monday held a joint demonstration for their integrated air taxi service technology in Indonesia, the companies said.

The automakers said they held a public event to demonstrate their combined integrated advanced air mobility (AAM) technology at Samarinda Airport near Indonesia’s new capital of Nusantara, reports Yonhap news agency.

The event was organised to showcase Hyundai and Kia’s envisioned demand-responsive transport service, named Shucle, and related AAM services to fit the actual user environment.

It was attended by officials from the Indonesian transport ministry, the Nusantara Capital City Authority and representatives from the South Korean automakers. Attendees were given the chance to experience the Shucle service firsthand.

The flight demonstration was made using the Korea Aerospace Research Institute’s air vehicle Oppav. Powered by Hyundai Motor Group’s powertrain technology, Oppav flew approximately 2 kilometres along a predestined route.

With its vast land area covering over 18,000 islands, Indonesia is known as a country with high growth potential for the air taxi business due to the difficulty of developing road transportation.

Hyundai Motor Group has been cooperating with Indonesia’s Nusantara Capital City Authority to establish a local AAM ecosystem.

The two sides are working on various initiatives, from developing plans to apply AAM within the new capital, to validating concepts for ground and air transportation, and conducting local demonstrations. AGENCIES

Indian Institute of Technology (IIT) Mandi, on Monday, announced the inauguration of the BioNEST-IIT Mandi Catalyst Centre, a pioneering initiative sponsored by the Biotechnology Industry Research Assistance Council (BIRAC), a funding agency, under the Department of Biotechnology.

With an initial funding of Rupees five crore, the centre aims to drive innovation and entrepreneurship in biotechnology and healthcare sectors, particularly addressing the unique challenges of the Himalayan region.

Its primary focus is on healthcare innovation, including the development of disease detection methods, affordable healthcare solutions, medical devices, prosthetics, tissue engineering, and regenerative medicine.

In addition, the centre will explore biotechnology applications, such as drug discovery, bioactive compounds, supplements, and functional foods, to enhance health and wellness.

“The BioNEST-IIT Mandi Catalyst Centre will support business ventures in the biotechnology and healthcare sectors that can generate significant economic opportunities by creating jobs,” said Dr Satvasheel Ramesh Powar, Faculty-in-charge, IIT Mandi Catalyst.

“The centre will enhance collaboration and knowledge exchange by establishing strong networks among entrepreneurs, investors, industry partners, and academic institutions. In addition, the centre is committed to promoting sustainable development by encouraging startups to pioneer environmentally friendly technologies and solutions,” Dr Powar added.

The centre aims to enhance the entrepreneurial ecosystem in the Himalayan region, offering vital incubation support to startups, including funding, mentorship, and access to cutting-edge facilities. AGENCIES

India is on track to become a global manufacturing centre, driven by its rapid economic growth and strategic initiatives, according to a report by the global financial services firm Lazard.

The report, “Outlook on Emerging Markets,” highlights India’s strong demographic advantage, projecting significant growth until 2060 due to its young and expanding labour force.

With nearly 80 per cent of its population under the age of 50 and a rising middle class experiencing real wage growth, India is poised to benefit from a substantial demographic dividend.

The report credits the first two terms of PM Modi’s government with succeeding in “stabilising India’s macroeconomy, integrating millions into the digital economy, and implementing tax and other reforms.”

It also pointed out that PM Modi’s plan to transform India into a developed country by 2047 is set to remain a central goal during his third term as well. However, the report also notes that there are some challenges in the education and agriculture sectors.

India is widely seen to be on track to become the world’s third-largest economy with GDP crossing US$ 5 trillion and the goal is now to reach a US$ 30 trillion economy by 2047.

The Prime Minister also chaired a NITI Aayog meeting on Saturday which had Viksit Bharat@2047 as its central theme. He emphasized that the country needs to take advantage of the opportunities that are emerging due to the technological and geopolitical changes taking place in the world.

The Governing Council meeting discussed the Approach Paper for the Vision Document on Viksit Bharat @2047. The meeting also discussed the roadmap for enhancing the quality of life for both rural and urban populations by strengthening the delivery mechanisms of government interventions.

Besides, the Prime Minister stated that the Union Budget 2024-25 “ would be a catalyst for making India the third largest economy in the world and for laying the strong foundation for the Viksit Bharat goal.”

The Budget has given a booster shot to the manufacturing sector, especially the Micro Small and Medium Enterprises (MSMEs). AGENCIES

Contributing to India’s digital inclusion, fintech Non-Bank Financial Companies (NBFCs) sanctioned nearly 9 crore loans worth Rs 98,111 crore in FY24, doubling their share in six years, a report showed on Monday. 

This accounts for 65 per cent of loan sanction volume and 11 per cent of the loan sanction value in the overall personal loan market in FY24, according to leading industry body, the Fintech Association for Consumer Empowerment (FACE).

From FY19 to FY24, fintech loans’ share in sanction volume increased from 30 per cent to 65 per cent and in sanction value from 4 per cent to 11 per cent.

“An expanding digital economy nurtured by public policy, infra and regulations creates fertile ground. The backdrop is moving – customer needs, regulations, technology, funding position. Technological developments, in particular, bring new prospects and risks,” said Sugandh Saxena, CEO, FACE.

Despite the pandemic setbacks, the industry disbursed over 24 crore loans worth Rs 2.7 lakh crore since April 2018.

The outstanding loan volume for fintech personal loans was 4.84 crore with a total value of Rs 70,049 crore (as of March 2024).

This represents fintech NBFCs share of 5 per cent in overall personal loan outstanding and over a third in active loan volumes, said the FACE data.

“The digital process breaks the geographical barriers to access, and the data shows that fintech borrowers come from 717 districts in 35 states/UTs,” the report mentioned.

Over two-thirds of loans by sanction value in FY 23-24 went to borrowers under the age of 35.

Fintech primarily serves the vast aspirational mass market with an annual family income of Rs 3-12 lakh.

These customers require a spectrum of credit products, and the fintech loan ticket size composition reflects that, said the report.

At an aggregate level, fintechs have an average ticket size of about Rs 11,000 and half of the sanction value goes to ticket sizes under Rs 50,000.

“Fintech’s ability to capitalise on technology to improve customer experience and business conduct and prevent risks and fraud is mission critical for success ahead,” said Saxena. AGENCIES