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Economic Times
2 days ago
- Business
- Economic Times
Unlocking India's aviation potential: A path to economic growth and job creation
(Disclaimer: The opinions expressed in this column are that of the writer. The facts and opinions expressed here do not reflect the views of .) India is home to a growing, confident young population, and a vibrant startup ecosystem driving consumption and innovation at scale. There's an air about India. So, it's no surprise that Indian aviation , with millions of aspirational air passengers and more than 1,350 commercial aircraft in the order pipeline, has the world's to IATA, more than 4.4 bn passengers travelled by air in 2023, along with $8 tn worth of global trade - 33% of total by value. Nearly 60% of global tourists arrive by plane, making an economic contribution of $27.1 bn, and supporting 5 mn people in India. And each flight - of which there are more than 35 mn each year - requires dozens of crews, engineers, caterers, ground-handlers and other trained staff to make it International Civil Aviation Organisation (ICAO) declared that investment in air connectivity has a multiplier effect of 3.1 to GDP, and each aviation job creates 6.1 others. According to Air Transport Action Group's (ATAG) '2024 Aviation: Benefits Beyond Borders', the sector supports 86.5 mn global jobs and contributes $4.1 tn, 3.9% of the global economy. In India, according to IATA, overall contribution of aviation is 7.7 mn jobs and $53.6 bn to 2022 privatisation of Air India, along with IndiGo, the emergence of two sizeable, well-capitalised and professionally-run local airlines set the direction for Indian aviation. Their combined aircraft order book, valued at well over $150 bn, leaves no doubt as to ambition and commitment. As does massive investment, both public and private, in India's aviation infrastructure, including doubling of operational airports from 74 to 159 in just the last decade, and the imminent opening of second airports in Delhi and is, nevertheless, remarkable that, even as India surpasses 350 mn annual air travellers and becomes the world's third-largest domestic air travel market , most of its opportunity lies ahead. With a country of 1.4 bn people and 6.5% annual GDP growth, yet an intensity of air travel 1/5th that of China, potential demand is has long punched well below its weight, operating a fraction of the long-haul fleet of even some city-states. As this situation is addressed, and more non-stop flights are added between India and the world's major cities, global air travel flows will be is opportunity to better serve, and draw back to Indian carriers, the 35-mn-strong Indian diaspora. And, then, there's opportunity for India to connect the world. 130 mn international travellers fly over India each year, with many connecting through an airport nearby. The right combination of network, customer experience and value for money, coupled with increasing business and tourism allure, can shift the centre of aviation gravity and steer more economic benefit toward Indian success is not inevitable. Realising India's opportunity will require sustained and aligned effort. Investment by airlines and airports must continue on aircraft, product, people and customers, as well as on supporting infrastructure, such as training and aviation enablers - such as air navigation system providers, immigration and customs services - all need to plan for the growth ahead and build capacity and efficiency to accommodate what will be a step-change in volume. National and state policy affecting ease, clarity and cost of doing business must draw from the world's best practice, as must application of regulation and deployment of technology. Coordination of all the pieces must be effective, consistent and aligned to a decades-long won't be easy. But examples of what happens when the key cards are played right are nearby and there for all to see. Equally, one need not look too far, in either distance or time, to see the opposite. Aviation can be an even larger engine and catalyst of India's national writer is CEO-MD, Air India
Economic Times
3 days ago
- Business
- Economic Times
What is LRS or RBI's Liberalised Remittance Scheme?
Funds can be remitted outside India for various purposes such as investments, travel, education and more The Reserve Bank of India provides the Liberalised Remittance Scheme. Indian residents can send money abroad. Individuals can remit up to $2,50,000 annually. This is without special permission from the RBI. The scheme is for education, travel, investments, and more. Tax is applicable depending on the purpose of remittance. Tired of too many ads? Remove Ads (Disclaimer: The opinions expressed in this column are that of the writer. The facts and opinions expressed here do not reflect the views of .) 1. LRS is a facility provided by the Reserve Bank of India (RBI) that allows resident individuals in India to send money abroad.2. Individuals can remit up to $2,50,000 per financial year (April– March) without special permission from the RBI3. Only resident individuals, including minors (through a guardian), are eligible. The scheme does not apply to companies, partnerships, or trusts.4. Funds can be remitted for various purposes, including education and medical expenses abroad, travel, gifting and donations, investments in foreign stocks, bonds, real estate, and deposits.5. Depending on the purpose, tax collected at source , or TCS, of up to 20% may be applicable on the remitted on this page is courtesy Centre for Investment Education and Learning (CIEL).Contributions by Girija Gadre, Arti Bhargava and Labdhi Mehta.
Time of India
3 days ago
- Business
- Time of India
What are low-duration mutual funds? Who should invest in them?
Low-duration funds invest in short-term debt instruments. These funds offer stable returns over six to twelve months. They suit investors seeking liquidity and lower interest rate sensitivity. These funds invest in CDs, CPs, treasury bills, and short-term corporate bonds. Investors can access such low-duration funds through various platforms online. Tired of too many ads? Remove Ads Where do these invest? Why consider these How to invest Points to note Tired of too many ads? Remove Ads (Disclaimer: The opinions expressed in this column are that of the writer. The facts and opinions expressed here do not reflect the views of .) Low-duration funds are debt mutual funds that invest in debt and money market instruments with an average maturity of six to 12 months. They are suited to investors seeking relatively stable returns over a short-term horizon of six months to a year, offering a balanced mix of liquidity , returns, and lower sensitivity to interest rate funds primarily invest in a mix of short-term instruments, such as certificates of deposit (CDs), commercial papers (CPs), treasury bills, and short-term corporate bonds. The lower average maturity of the underlying securities helps reduce the impact of interest rate fluctuations, making these less volatile comparedd to long-duration debt funds are useful during uncertain interest rate environments. Since these invest in short-term instruments, the fund manager can adjust the portfolio more frequently based on changing market conditions. For risk-averse investors who want better returns than traditional savings or fixed deposits without locking in funds for long periods, low-duration funds offer an attractive middle can access low-duration funds through mutual fund platforms, banks, or financial advisors. It is advisable to review the fund's credit quality, expense ratio, historical performance, and experience of the fund management team. While these funds aim to preserve capital, credit risk cannot be completely eliminated. So investing in schemes with high-rated instruments is prudent.• Low-duration funds are best suited to short-term goals or as part of a larger asset allocation strategy.• Avoid using these funds for goals that demand complete capital protection in the short on this page is courtesy Centre for Investment Education and Learning (CIEL).Contributions by Girija Gadre, Arti Bhargava, and Labdhi Mehta.
Time of India
4 days ago
- Business
- Time of India
Copper in 2025: Navigating a tightrope between surging demand and constrained supply
(Disclaimer: The opinions expressed in this column are that of the writer. The facts and opinions expressed here do not reflect the views of .)
Time of India
28-05-2025
- Business
- Time of India
The future of India's BFSI sector: How Agentic AI is powering autonomous operations
Tired of too many ads? Remove Ads Tired of too many ads? Remove Ads Popular in Rise 1. How India's fintech revolution reveals why tax advisory still needs the human heart (Disclaimer: The opinions expressed in this column are that of the writer. The facts and opinions expressed here do not reflect the views of .) India's BFSI sector is on the brink of significant transformation, as the integration of Agentic AI has begun to redefine how financial institutions operate and interact with customers, alongside managing risks. Unlike traditional AI models that focus on automating repetitive tasks or processing predefined inputs, Agentic AI offers evolved capabilities—allowing systems to independently interpret scenarios, learn from new data, and take real-time actions with minimal human shift from automation to autonomy signals a turning point for banks and insurance companies, positioning technology not just as a support function but as a strategic driver of growth and recent studies highlight the momentum behind this shift. According to PwC, 90% of Indian banks have increased their investments in AI and automation, driven mainly by the pursuit of personalized customer experiences, advanced fraud detection , operational efficiency, and proactive risk management. Besides, business leaders are recognizing the advantages AI can provide. For instance, 57% of financial institutions believe AI will give them a distinct competitive edge, while 83% have identified enhancing customer experience as the leading driver for AI use cases. The findings at BUSINESSNEXT Research Lab, further reinforce this, noting that early adopters of technologies such as Agentic AI in banking for use cases around customer service and personalized proposal builder can drive productivity gains of up to 80% in the next 2 use of AI-powered tools in the sector is already widespread. Over 80% of financial institutions have deployed chatbots to streamline customer service, while 65% have implemented AI-driven fraud detection systems, making it the second most common application of AI in the industry. These AI agents not only improve operational metrics but also enable financial institutions to reimagine the entire service experience—from seamless credit assessments and smart underwriting to 24/7 customer support and real-time fraud this rapid embrace of Agentic AI also presents what many are calling the "Agentic AI paradox"—where ambition is high, but readiness lags. To illustrate, the 2024 Cisco AI Readiness Index revealed that only 18% of Indian organizations are fully prepared to deploy AI technologies, down from 26% the previous year. This decline is attributed to infrastructural shortcomings, data readiness, and a lack of integration across platforms. 42% of Indian financial services firms cite data governance challenges as significant obstacles to AI adoption , while 73% report that fragmented data across departments hampers effective implementation. Cybersecurity concerns are escalating in parallel, as AI systems gain access to sensitive customer data and core financial shortages further complicate the picture. Around 31% of Indian financial firms acknowledge a lack the skilled professionals required to design and deploy AI systems. This has led to 20% of AI projects stalling at the planning stage and 12% being abandoned altogether. Even at the customer level, challenges persist—63% of Indian families surveyed by Local Circles reported difficulty accessing online banking due to KYC issues, dormant account statuses, or login problems. These gaps highlight the unevenness of AI adoption across both institutions and user segments, raising important questions about inclusion and digital these barriers, the direction of the industry is clear. The adoption of agentic AI isn't just the latest tech trend—it's a big shift in how banks and financial institutions work. It helps them run more independently, make faster decisions, and offer smarter services. But to get the most out of it, they need more than just the right tools. They also need strong data practices, ethical AI frameworks, digital systems built around customer needs, and people who are trained to work with these new a result, the future of India's BFSI sector will be defined not just by the sophistication of its AI but by its ability to balance innovation with trust, autonomy with accountability, and speed with security. Thus, while Agentic AI reshapes the foundation of banking, we are poised to streamline operations, deliver hyper-personalized customer experiences, and enable real-time responses like never before. The challenge ahead lies not in adopting Agentic AI, but in doing so responsibly, ensuring that technology remains a powerful enabler of inclusive, ethical, and future-ready financial author is Head of Marketing, BUSINESSNEXT.
