BACK PAGE | PAGE 12 MARKETS | PAGE 5 Iwasdeterminednottolet othersdie:flydubaipilot BACK PAGE | PAGE 12 ICICILifeInsuranceappoints SidharathaMishraMD&CEO NEW DELHI, SATURDAY, OCTOBER 3, 2026 Asiad:Indiaintop5with 6goldonpenultimateday FOLLOW US ON TWITTER & FACEBOOK. APP AVAILABLE ON APP STORE & PLAYSTORE WWW.FINANCIALEXPRESS.COM READ TO LEAD VOL LII NO. 186, 12 PAGES, `12 (PATNA & RAIPUR `12, SRINAGAR `15) P U B L I S H E D F R O M : A H M E D A B A D , B E N G A L U R U , C H A N D I G A R H , C H E N N A I , H Y D E R A B A D , K O C H I , K O L K ATA , L U C K N O W, M U M B A I , N E W D E L H I , P U N E IN THE NEWS COMPANIES PAGE 4 BFSITECH SPEND UP, BUTSHARE OF ITSERVICES FALLS BANKS AND FINANCIAL institutions are increasing their technology spending, but Indian IT services firms are capturing a shrinking share of the incremental wallet as a larger portion of budgets shifts towards AI infrastructure, software, cloud, cybersecurity and in-house engineering capabilities, reports Poulomi Chatterjee. COMPANIES PAGE 4 OVER 43% OFADANI INVESTMENTS IN MAHAUNDERWAY THE ADANI GROUP has completed or is executing projects worth `2.6 lakh crore in Maharashtra out of an investment commitment exceeding `6 lakh crore across sectors, Pranav Adani, director at Adani Enterprises, said on Friday. Pharma, textiles, EVs seek GST fix for duty inversions PHARMACEUTICALS,TEXTILES, FOOTWEAR, fertilisers, renewable energy & EVs could be among the sectors seeking relief from accumulated input tax credit as the GSTCouncil considers process reforms at its October 7 meeting, reports Shubham Rana. Last year’s overhaul simplified the indirect tax regime for consumers but widened inverted duty structures in ■ PAGE 3 several sectors. » INSIDE « EXPLAINER: WHAT PROCEDURALCHANGES CAN YOU EXPECTIN GST? P2 Centre achieves 46% of capex target for FY27 THE CENTRE’S CAPITAL expenditure reached `5.63 lakh crore, or 46% of the FY27 target as on September 22, sources said, adding that the capex programme is on track, reports Prasanta Sahu. Based on the trend through September 22, the Centre’s capex will be around 50% by September 30. ■ PAGE 2 Loans against FDs move up 43%, fastest in over 3 years WORKING ON STICKING POINTS,SAYS USTR India-US deal not imminent: Greer MUKESH JAGOTA New Delhi, October 2 USTRADE REPRESENTATIVE Jamieson Greer on Thursday cautioned against expectations of an early India-US trade deal, saying an interim agreement is“not imminent” despite negotiations being in the final stretch and the two sides having identified the remaining sticking points. “We are in the short strokes. So I think we're toward the end of it,” Greer said, but added: “At the same time I don't think there's something imminent.” The statement came a day after Greer held talks with Commerce and Industry Minister Piyush Goyal on the sidelines of the G20 Trade Ministers’ Meeting in Milwaukee, with both sides pushing for an interim agreement under the broader India-US Bilateral Trade Agreement (BTA). “We truly have identified the universe of items that are sticking points. We are working diligently toward them,” Greersaid,describing his conversation with Goyal as “very constructive”. “Minister Goyal and myself, our staff are meeting right now. Since they are in the country and we are here, we are continually trying to finish the trade deal with WORK IN PROGRESS ■ He met Greer on Thursday and discussed the way forward for the bilateral trade deal ■ Union Minister Piyush Goyal is in Milwaukee for the G20 Trade Ministers’ Meeting JAMIESON GREER, US TRADE REPRESENTATIVE ■ The talks are taking place against the backdrop of a US law penalising Russian oil trade KSHIPRA PETKAR Mumbai, October 2 MinisterGoyal and myself,ourstaff are meeting right now...we are continuallytrying to finish the trade deal with India Mysenseisthatthe President,thePMmay haveanothercallvery soononthisjustto assessprogressand whereweare »INSIDE« INDIARAISES SUPPLYCHAIN ISSUEATG20 MEET P2 India,” he said. The comments followed Goyal’s statement after Wednesday’s meeting that the two sides had a “productive discussion” towards the “early conclusion of a mutually beneficial interim agreement” under the BTA. Greer’s assessment also followed a phone conversation between Prime Minister Narendra Modi and US President Donald Trump. The two leaders reviewed bilateral cooperation, including trade, defence, energy and critical technologies, with Greer describing the call as “very constructive”. He indicated that Modi and Trump could speak again soon to assess progress. “My sense is that the President,the Prime Minister may have another call very soon on this just to assess progress and where we are,” Greer said. Continued on Page 8 H1 SEES 25 NEW ENTRANTS IN `1 LAKH-CR M-CAP CLUB DESPITETHE BENCHMARK indices remaining largely flat during April–September, 25 companies entered the `1 lakh-crore marketcap club, according to data sourced from Capitaline. During the period, four companies exited the group.The total tally ofsuch companies now stands at 114 compared to 93 at the end ofMarch. Laurus Labs, Paytm, BHEL, Lodha Developers and Meesho were among the top entrants in the club while Godrej Consumer Products, IndusTowers, Lupin andTata Consumer Products exited the group.The mcap ofLaurus Labs doubled to `1.07 lakh crore during the period. —Kishor Kadam A SURGE IN leveraged trades involving FCNR(B) deposits is likely to have propelled loans against fixed deposits to their fastest growth rate in more than three years, with outstanding advances jumping 43.2% year-on-year to `2.04 lakh crore inAugust,according to Reserve Bank of India (RBI) data.The last time growth was higherwas in June 2023,when such loans had risen 47%. Advances against fixed deposits rose by around `42,750 crore in just one month, from `1.62 lakh crore at the end of July. Compared with August last year, when outstanding advances stood at `1.43 lakh crore, the increase was around `61,500 crore. “My sense is that a large part of this is driven bythevarious leveraged trades which have been done by NRIs on LEVERAGED BETS ■ Outstanding advances jumped to `2.04 lakh crore in August compared to `1.62 lakh crore in July ■ Banks offered leverage of up to nine times against FCNR(B) deposits ■ Analysts expect the sharp rise to continue in Sept as more transactions get reflected these FCNR(B) deposits,” said Prakash Agarwal, partner at Gefion Capital. Continued on Page 9 QUICK PICKS Panel:LinkMSP RILto invest withoilcontent `1Lcr inAP TO BOOST DOMESTIC production and reduce import dependence of cooking oil, the Commission for Agricultural Costs and Prices (CACP) has recommended linking the MSP of oilseeds with oil content, based on scientifically determined benchmarks, reports Sandip Das. ■ PAGE 2 RELIANCE INDUSTRIES PLANS to invest `1 lakh crore in Andhra Pradesh to set up compressed biogas plants, creating more than 300,000 jobs for the state over the coming decades, the company’s executive director Anant M Ambani said on Friday. ■ PAGE 4 Bondissuessurge aheadofRBImeet CHRISTINA TITUS Mumbai, October 2 EYE ON MPC INDIAN COMPANIES ARE making a dash for the bond market, seeking to lock in borrowing costs before a potential interest-rate hike makes money even more expensive. Corporate bond issuances surged to `1.34 lakh crore in September, the highest monthly mobilisation since May 2025, according to Prime Database. This took total issuances in the first six months of FY27 to `5.63 lakh crore, nearly matching the `5.65 lakh crore raised during the corresponding period last year. The rush comes despite elevated bond yields. Market participants said issuers who had stayed on the sidelines in recent months — deterred by high yields and the availability of relatively cheaper bank funding — are returning to bond issuances surged to Paymentaggregatorsseek biggersliceofUPIMDRpie ANEES HUSSAIN Bengaluru, October 2 Market cap (top 10, ` cr) Mar 30 Sept 30 53,546 Laurus Labs One 97 Communications 107,068 61,358 107,479 85,502 144,506 67,612 113,430 63,660 105,391 84,744 138,927 92,417 140,304 71,513 105,791 86,925 119,464 76,558 104,310 BHEL Lodha Developers Meesho Bosch Vodafone Idea Lloyds Metals Lenskart Solutions Aditya Birla Capital PAYMENTAGGREGATORS (PAs) % change NEW REVENUE MODEL ■A arenegotiatingwiththeirsponsorbanksforalargershareofthe acquiring bank’s cut of the new merchant discount rate (MDR) onUPItransactions,withdiscussions centred on PAs retaining 50-80% of the bank’s share, peopleawareofthemattersaid. The negotiations are expected to conclude before the new MDR takes effect on October 15. Under the framework notifiedbythegovernmentand theNationalPaymentsCorporation of India (NPCI),merchants willpayanMDRof0.4%onUPI transactions above `2,000. Of this, 0.12% will accrue to the acquiring bank, with the PA’s share carved out of the bank’s portion. A `10,000 UPI transaction, forinstance,wouldgenerate`40 100.0 75.2 69.0 67.8 65.6 63.9 51.8 47.9 37.4 36.2 Source: Capitaline `10,000 UPI transaction from Oct 15 would generate `40 in MDR ■ The outcome of these negotiations is likely to depend on the business PAs bring to banks FIVE YEARS OF the govern- ment’s production-linked incentive(PLI)schemehavecertainly transformed the country intoamajorsmartphoneexport base, but almost 87% of the increaseinsmartphoneexports during the period has come fromApple. Smartphoneexportssurged from $5.5 billion in FY22 to $29.36 billion in FY26,but the non-Apple portion rose only 74%,fromabout$4.2billionto $7.4 billion. Apple’s iPhone exports, in contrast, jumped nearly 17-fold from about $1.25billiontoaround$22billion, making the company the overwhelming driver of the FY27 (Apr-Aug) PACE SETTER ($ bn) Smartphone exports ($ bn) 17.6x 22 FY22 FY26 Growth 1.7x 7.4 1.25 Apple 4.2 Non-Apple becomes clearerwhen the fiveyear PLI period is viewed as a whole. India added nearly $24 billion to its annual smartphone exports between FY22 of the $23.9 bn increase in smartphone exports between FY22 and FY26 Non-Apple 13.2 Apple accounted for nearly 87% Apple 2.76 Apple share in % Growth in Apple exports (% y-o-y) 82 47 Total 15.96 Growth in total exports (% y-o-y) 36 Apple accounted for 98% of the increase in smartphone exports in the first five months of FY27 and FY26. Apple alone added about $20.75 billion,while all other manufacturers together contributed roughly $3.1 billion.As a result,Apple's share of smartphone exports has risen sharplyduringtheperiod,from about 23% in FY22 to more than 75% in FY26. The shift reflects the rapid expansion of lakh cr `5.63 »INSIDE« BAJAJ FINANCE BOARD NOD TO `11.7K-CR QIP PAGE 5 the market as the risk of further increases in borrowing costs grows. Continued on Page 8 Drugpanel rejectscap onwholesale licences MANU KAUSHIK New Delhi, October 2 A NATIONAL DRUG regulatory Continued on Page 8 the Payment aggregators (PA) could retain `6-9.60 of this amount Apple's contract manufacturing base in India and the country's growing role as an export hub foriPhones. Thewiderelectronicsindustry,meanwhile,has been building out around that growth. Telecom equipment,electronic components, printed circuit boards, chargers, photovoltaic cells and other products have contributedtotheexpansionof the export basket. But the pace has been markedly different from smartphones. While the value of electronics exports more than doubled between FY23 and FY26, the smartphonesegmentaloneincreased more than five-fold between FY22 and FY26. The result is thattheheadlinegrowthinelectronics exports increasingly in Sept, highest mobilisation since May 2025 lakh crore Continued on Page 8 ■ At the rates being negotiated, depend on the business each PA bringstoitssponsorbank.Aggregatorswithlargetransactionvolumes,sizeable merchant floats anddeepertechnologyrelationshipswithbanksareexpectedto havegreaterbargainingpower,a senior executive at a payment aggregatorsaid. Continued on Page 9 Smartphone export boom has anApple-sized catch export surge. That Apple-led expansion has, in turn, transformed the broader electronics export basket,althoughatadifferentpace. Electronics exports rose from $23.55 billion in FY23 to $29.12 billion in FY24 and $38.6 billion in FY25, before reaching about $48 billion in FY26, more than doubling in three years. Smartphones have accounted for an increasingly large share of this basket,rising from about 47% of electronics exportsinFY23to61%inFY26. Thecontrastissignificant:while Apple has driven a spectacular expansion in one product category, the wider electronics ecosystemhasbeengrowingata slower,more incremental pace. The scale of Apple's rise `1.34 took total issuances in the first six months of FY27 to reflects the rise of mobile phones,even as a broadermanufacturing ecosystem begins to take shape. The Apple effect has become even more pronounced after the PLI scheme endedinMarch.Inthefirstfive months of FY27, smartphone exportsrose36%year-on-year to $15.96 billion,whileApple's exports jumped 47% to $13.2 billion. Apple, therefore, accounted for about 82% of smartphone exports during April-August, leaving roughly $2.8 billion forall othermanufacturers.Morestrikingly,98% of the incremental increase in smartphone exports during the period came fromApple. acquiring bank would receive `12 iPHONESNEARLY87%OFTHESPIKEINSMARTPHONEEXPORTSINPLIYEARSEVENASTHELARGERECOSYSTEMPLAYSCATCH-UP RISHI RAJ New Delhi, October 2 ■ This panel refused to cap wholesale drug licences, arguing that a nationallimitcouldbeimpractical. However, it asked state drugregulatorstobemorevigilant about the potential misuse of these licences for highmargin retail sales. Several pharmacist bodies sought to regulate wholesale licences based on the number of retail licences,but the panel said such a uniform approach might not work across different markets. Licensing needs vary across regions, the panel noted, telling state drug authorities to assess local requirements. The issuewas considered at the 70th meeting of the Drugs ConsultativeCommittee(DCC) wherethebodywasexamining a representation from the pharmacists'associationsseeking a review of the framework for granting retail and wholesale drug licences, including a proposal to regulate the ratio between the two categories. The proposal was aimed at addressing concerns over the possible misuse of wholesale licences for retail sales. For instance, a wholesale licence allows a business to supply medicines to authorised entities,while retail licences cover sales to consumers. In some cases, wholesalers would sell medicines directly to consumers. This can blur the line between wholesale and retail sales,it was highlighted. “Members observed that therequirementsdifferconsiderably between urban, rural, industrial and geographically remote areas and that a uniform numerical ratio would not be practicable throughout the country,”the panel noted. ■ Out of this, the in MDR,of which the acquiring bank would receive `12.At the rates under discussion, the PA could retain `6-9.60 of this amount. Since the framework does not provide a separate, directshareofMDRforpayment aggregators,theyarenegotiating commercialarrangementsindividuallywithbanks. The outcome is likely to ■ Corporate New Delhi