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November 05, 2025 Indian Economy & Business: Key Developments (November 4-5, 2025)

India's Finance Minister Nirmala Sitharaman reiterated the country's swift progress towards becoming the world's third-largest economy, citing robust economic strength and inclusive growth that has lifted millions out of poverty. The festive season witnessed record consumer spending of US$ 67.6 billion, boosted by GST cuts. While Indian stock markets remained closed on November 5th for Guru Nanak Jayanti, the previous day saw a market downturn amidst Q2 FY26 earnings announcements from major companies like SBI, Adani Enterprises, Bharti Airtel, and Titan, many of whom reported strong results. The IPO market continues to boom, though concerns about valuations persist.

India's Economic Trajectory and Policy Highlights

Finance Minister Nirmala Sitharaman on Tuesday, November 4, 2025, affirmed that India is rapidly progressing to become the world's third-largest economy, emphasizing the nation's robust economic strength and fast movement from the tenth-largest economy in 2014 to its current position. Speaking at the Delhi School of Economics, she highlighted the government's inclusive growth model, which has successfully lifted 25 million people out of multi-dimensional poverty. Sitharaman also expressed confidence in achieving the ambitious fiscal deficit target of 4.4% of GDP, or Rs 15.69 lakh crore, for the current financial year (2025-26). She further noted the significant improvement in the balance sheets of public sector banks compared to previous years. The Prime Minister also launched a US$ 11.27 billion Research, Development, and Innovation Fund to promote private-led innovation and position India as a global science and technology leader.

Record Festive Season Spending and Manufacturing Growth

India experienced a remarkable surge in consumer spending during its month-long festive season (September 22 to October 21, 2025), with spending jumping to a record US$ 67.6 billion (approximately Rs 6,00,000 crore). This 8.5% year-on-year increase was primarily driven by the government's Goods and Services Tax (GST) cuts across around 400 product categories, stimulating demand in sectors such as automobiles, electronics, apparel, and jewellery. Major automakers like Maruti Suzuki, Tata Motors, Mahindra & Mahindra, and Hyundai Motor India reported record sales. The manufacturing Purchasing Managers' Index (PMI) also rose to 59.2 in October 2025, indicating strong domestic demand, the positive impact of GST relief, and steady job creation.

Stock Market Updates and Major Earnings

Indian stock markets, including the National Stock Exchange (NSE) and Bombay Stock Exchange (BSE), remained closed on Wednesday, November 5, 2025, in observance of Guru Nanak Jayanti. On the preceding trading day, November 4, Indian equity markets experienced a selloff in the latter half, with the BSE Sensex closing 519.34 points lower and the Nifty50 down by 165.70 points, primarily due to declines in IT and metal stocks. However, some companies, including SBI and Titan, saw gains.

Several prominent companies announced their Q2 FY26 results:

  • State Bank of India (SBI) reported a 10% rise in its net profit to ₹20,160 crore for the September quarter, partly aided by a one-time income from the sale of Yes Bank shares.

  • Adani Enterprises recorded an impressive 84% growth in its Q2 net profit, reaching ₹3,199 crore.

  • Bharti Airtel reported a substantial 89% year-on-year increase in net profit to ₹6,791.7 crore for Q2 FY25, with revenue growing by 25.7%.

  • Titan Company saw its consolidated net profit rise by 59.1% to ₹1,120 crore, and revenue jumped by 28.8%.

  • Adani Ports and Special Economic Zone (APSEZ) announced a 29% jump in consolidated net profit for Q2 FY26, reaching ₹3,120 crore.

  • Bajaj Finance reported a significant 27% surge in festive loan volume.

  • Paytm's net profit stood at ₹21 crore, with revenue up 24% in Q2.

  • Hero MotoCorp, the world's largest two-wheeler manufacturer, reported a 6.4% year-on-year fall in total sales for October 2025, although exports increased by 42.8%.

  • Power Grid Corporation of India reported a 6% decline in consolidated net profit.

The Initial Public Offering (IPO) market in India continues its booming trend, attracting strong interest from both institutional and retail investors, including those from beyond Tier 1 cities. However, experts caution about potential red flags concerning stretched market valuations.

Other Notable Business News

The Enforcement Directorate provisionally attached assets worth approximately US$ 350.87 million (Rs 30.84 billion) linked to the Reliance Anil Ambani Group as part of an ongoing money-laundering investigation related to loans provided by YES Bank. In the startup ecosystem, Bengaluru-based Tsalla Aerospace secured its maiden funding, and consumer tech brand Protouch and FMCG startup TABP also raised fresh capital. OYO's parent company, PRISM, withdrew a controversial bonus share scheme following investor backlash, promising a simpler, more inclusive bonus structure.

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