A fresh debate has erupted over India’s latest Gross Domestic Product (GDP) figures, with economists and former policymakers raising questions about the methodology behind the newly released growth estimates. The controversy has centred on the reported 7.8 per cent real GDP growth for the April-June quarter of 2026-27 and the changes introduced under India’s revised national accounts framework. The dispute has been described as a “fight over the donkey’s shadow”, reflecting the argument that excessive focus on the exact GDP number could draw attention away from the broader condition of the economy. The latest figures have nevertheless renewed discussion over how India measures economic activity and how the revised data should be interpreted.

India has introduced a new GDP series using 2022-23 as the base year, replacing the earlier base year. The updated framework incorporates newer data sources and changes in the methodology used to estimate economic activity. Such revisions can also lead to changes in previously published growth rates, making comparisons between the old and new series more complicated.

The official estimate of 7.8 per cent growth has faced criticism from former finance secretary Subhash Chandra Garg, who has questioned the calculations behind the number. The Ministry of Statistics and Programme Implementation has rejected the criticism and defended the methodology used to produce the latest estimate. GDP estimates are calculated using data from several parts of the economy, including manufacturing, services, consumption, investment and government activity. Since the figures are compiled from multiple datasets, revisions are a normal part of the national accounts process as additional information becomes available and statistical methods are updated.

The controversy has also brought attention to the importance of understanding what GDP can and cannot measure. GDP provides an indication of the size and growth of economic activity, but the headline figure does not reveal how income is distributed or how individual households are experiencing economic conditions. Strong economic growth can occur alongside concerns over employment, household purchasing power, inflation or the cost of essential services. These factors require separate indicators and cannot be fully captured by the GDP growth rate alone.

India’s economic performance is therefore being assessed through a wider range of indicators, including per-capita income, consumption, investment, employment and inflation. These measures can provide additional context about whether economic expansion is translating into higher incomes, greater job opportunities and stronger household demand.

Accurate GDP statistics remain important for policymakers, businesses and investors. Government decisions on economic planning and public spending rely heavily on national accounts data, while companies use growth estimates to assess demand and investment opportunities. The latest GDP controversy is consequently about more than a single percentage figure. It has opened a wider discussion about the methodology used to measure India’s economy, the interpretation of revised data and the difference between economic growth and broader improvements in living standards.

The latest GDP estimates may undergo further revisions. The debate is therefore likely to continue as economists and policymakers examine the new series and compare GDP growth with other measures of economic activity. The central economic question extends beyond the headline growth rate. The quality of growth, the creation of productive employment, household incomes, investment and the distribution of economic gains will also determine how the country’s economic progress is ultimately understood.
Disclaimer: This image is taken from Hindustan Times.

Business executive Chander Agarwal has filed a lawsuit against his former girlfriend in Singapore, seeking to recover nearly S$468,000, or about US$370,000, spent on luxury purchases, travel and other expenses during their relationship. Agarwal, the chief executive and managing director of TCI Express, claimed that the money spent on his former girlfriend, Felicia Lee, was not simply given as gifts but was intended to be repaid. The dispute eventually reached the Singapore High Court, where the court examined the couple's financial arrangements and the circumstances surrounding the payments.

The case involved expenses ranging from luxury shopping and credit-card bills to travel, insurance and other personal costs. Court records referred to purchases linked to major luxury brands including Hermès, Dior, Prada, Celine and Louis Vuitton. Agarwal had also paid for expensive flights and other lifestyle-related expenses during the course of their relationship.

According to the court judgment, Agarwal and Lee first met in 2019 and later entered into a romantic relationship in September 2022. Their relationship ended in December 2023. Following the breakup, Agarwal sought to recover the money, arguing that several payments made during their time together should be treated as interest-free loans.

Lee, however, disputed this position and maintained that the money and benefits she received had been given to her as gifts. The court reviewed the evidence, including communications between the two and their pattern of financial dealings. A major question before the court was whether there was sufficient evidence to show that Lee had agreed to repay the disputed amounts. The court found little contemporaneous evidence indicating that the payments were clearly described or understood as loans when they were made.

The judgment also took into account Agarwal's previous spending patterns. Evidence before the court indicated that he had paid for expensive purchases and travel and had, on earlier occasions, reassured Lee that she did not need to repay money spent on her. Agarwal also relied on a handwritten document in an effort to support his claim that the payments were loans. Lee disputed signing the document, and the court found that the available evidence did not establish that it could support the recovery of the disputed sums.

The Singapore High Court ultimately concluded that the evidence was more consistent with the payments being gifts rather than loans. The judge found that Agarwal's conduct and the circumstances surrounding the spending showed an intention to provide Lee with financial benefits during their relationship.

Apart from seeking repayment of the money, Agarwal had also raised other legal arguments, including claims involving alleged misrepresentation and unjust enrichment. These claims were rejected by the court as well. The High Court dismissed Agarwal's lawsuit and ordered him to pay costs to Lee, subject to further directions regarding the amount. The ruling means Agarwal will not recover the approximately S$468,000 he had sought through the legal action.

The case has drawn attention because of the large sums involved and the luxury brands mentioned in the court proceedings. It also highlights how disputes over money spent during a relationship can become complicated after a breakup, particularly when there is no clear written agreement defining whether a payment was intended as a gift or a loan.

Disclaimer: This image is taken from Hindustan Times.

Union Finance and Corporate Affairs Minister Nirmala Sitharaman on Friday met Russian First Deputy Prime Minister Denis Manturov in New Delhi, with the two sides discussing ways to further expand economic cooperation and strengthen bilateral financial ties. The meeting was held on the sidelines of the 18th BRICS Summit, which is being hosted by India. According to the Ministry of Finance, the discussions focused on measures that could deepen economic engagement between the two countries and create new opportunities for cooperation.

A major focus of the meeting was the proposed Bilateral Investment Treaty (BIT). India and Russia agreed to move forward with negotiations on the agreement, which is aimed at creating a mutually beneficial framework to encourage investment flows and provide greater support for economic engagement between the two countries.

Sitharaman and Manturov also discussed possibilities for expanding cooperation in financial services. The sector has emerged as an important area of India-Russia economic engagement as both countries seek to strengthen their broader commercial relationship. The meeting comes as India and Russia continue efforts to expand economic ties across several sectors. While the two countries have traditionally maintained close cooperation in areas such as energy and defence, investment, financial cooperation and trade-related mechanisms are becoming increasingly important to their economic relationship.

The discussions also coincided with Russian President Vladimir Putin's arrival in New Delhi for the BRICS Summit. Putin was received by Union Minister of State for External Affairs Kirti Vardhan Singh following his arrival in the national capital. Putin is scheduled to hold bilateral talks with Prime Minister Narendra Modi, with discussions expected to cover a range of strategic and economic issues. Among the areas likely to receive attention are trade resilience, cross-border payment mechanisms, energy security and developments related to ongoing geopolitical tensions in Eastern Europe and West Asia.

During his visit, Putin is also scheduled to accompany Prime Minister Modi to the INNOPROM exhibition in New Delhi. The industrial and trade exhibition has been organised through cooperation between the relevant ministries of India and Russia and is expected to highlight opportunities for closer industrial and commercial engagement.

India is hosting the 18th BRICS Summit in New Delhi on September 12 and 13 under its 2026 BRICS Chairship. The country's chairship is guided by the theme “Building for Resilience, Innovation, Cooperation and Sustainability,” with development, sustainability and innovation forming key areas of focus. BRICS has developed into an important platform for cooperation among major emerging economies. Its discussions cover a broad range of issues, including finance, trade, technology, energy, sustainable development and people-to-people exchanges. The grouping also provides a forum for members to coordinate on issues of importance to the Global South and discuss reforms in international institutions.

The expanded BRICS grouping currently includes Brazil, China, Egypt, Ethiopia, India, Indonesia, Iran, Russia, Saudi Arabia, South Africa and the United Arab Emirates. Collectively, these countries account for nearly half of the world's population, around 40 per cent of global GDP and about 26 per cent of global trade, according to background information released in connection with India's 2026 BRICS Chairship.

India's leadership of BRICS comes at a time of significant changes in the global economic and geopolitical landscape. Supply-chain disruptions, technological advances, climate challenges, resource pressures and geopolitical uncertainty are reshaping international economic relations. Against this backdrop, New Delhi is seeking to use its BRICS chairship to promote practical cooperation in areas such as development, technology, energy, climate action and financial resilience. The larger membership of the grouping also presents an opportunity to strengthen cooperation among emerging economies and give greater representation to the priorities of the Global South.

The meeting between Sitharaman and Manturov therefore assumes significance as India and Russia look to broaden their economic partnership. Advancing negotiations on the Bilateral Investment Treaty could provide an additional framework for encouraging investment and strengthening long-term economic engagement between the two countries.

Disclaimer: This image is taken from X/@FinMinIndia.

The Financial Intelligence Unit-India (FIU-IND) has issued notices to 15 Virtual Digital Asset Service Providers (VDA SPs) for failing to comply with provisions of the Prevention of Money Laundering Act (PMLA), 2002, the Ministry of Finance said on Wednesday. The notices have been issued under Section 13 of the PMLA to platforms including Weex, Blofin, Rezorex, Bitunix, DigiFinex, Toobit, XT.com, Latoken, WOO X, Pionex, ChangeNow, SimpleSwap, FixedFloat, WhiteBIT and Guardian. The FIU-IND has also directed that the applications and URLs associated with these entities be removed from public access. According to the Finance Ministry, the platforms were operating in India without meeting the mandatory requirements under the country's anti-money laundering law.

Virtual Digital Asset Service Providers were brought under India's anti-money laundering and counter-financing of terrorism framework in March 2023 through the PMLA. The rules apply to both domestic and overseas VDA service providers conducting covered activities in India. These activities include exchanging virtual digital assets for fiat currencies, transferring digital assets, providing custody or administration services, and offering services that enable users to control such assets.

Under the framework, VDA service providers carrying out these activities are required to register with the FIU-IND as reporting entities and follow the obligations prescribed under the PMLA and related rules. The Finance Ministry clarified that these requirements are based on the nature of activities carried out by a service provider and apply regardless of whether the company has a physical presence in India.

The regulations require registered VDA service providers to maintain appropriate records, report specified transactions and comply with other anti-money laundering requirements. The latest action reflects the government's continued efforts to ensure that digital asset platforms serving Indian users operate within the country's financial compliance framework.

The Finance Ministry also issued a public safety warning about cryptocurrencies and non-fungible tokens (NFTs), stating that these products remain unregulated and can carry significant financial risks. It cautioned users that there may be limited or no regulatory recourse available for losses resulting from transactions involving such assets.

Disclaimer: This image is taken from ANI.

Oil markets are coming under renewed strain after attacks disrupted Saudi Arabia’s East-West pipeline, an important alternative route to the Strait of Hormuz. With Brent and WTI crude prices climbing above US$100 per barrel and fuel costs continuing to rise, concerns are growing over the resilience of global oil supplies. Susan Ng speaks with Jaime Brito, Executive Director of Refining and Oil Markets at Dow Jones Energy, about the potential impact of a prolonged disruption on Singapore and wider Asian markets.

Disclaimer: This podcast is taken from CNA.

The White House has announced the threat of sanctions against countries that continue to conduct trade with Iran, intensifying Washington’s efforts to put further economic pressure on Tehran as its military campaign faces mounting challenges. US Treasury Secretary Scott Bessent unveiled what he described as “Operation Economic Outcast”, drawing a comparison with the historic D-Day invasion to underline the scale of the economic measures being pursued against Iran. The strategy aims to deepen Iran’s economic isolation by discouraging other countries from maintaining commercial ties with Tehran. However, China, Iran’s largest trading partner, has already indicated that it is unlikely to support or comply with President Donald Trump’s efforts to target the Iranian economy. The latest measures come as the Trump administration looks to increase pressure on Tehran and force an end to the conflict. The move raises questions over how effective the economic campaign will be and whether Washington can persuade major trading partners to join its strategy. Lucy Hough discusses the latest developments with Julian Borger, senior international correspondent, examining the US pressure campaign, China’s position and what the economic escalation could mean for the wider conflict.

Disclaimer: This podcast is taken from The Guardian.

In today’s 17 August market analysis on Open For Business, Hairianto Diman and Justine Moss are joined by Nick Ferres, Chief Investment Officer at Vantage Point, to discuss the latest market trends and developments.

Disclaimer: This podcast is taken from CNA.

On today’s (13 August) episode of Open For Business, Hairianto Diman and Justine Moss discuss the latest market trends and economic developments with Will McGough, Chief Investment Officer at Prime Capital Financial. The conversation explores current market conditions, investment sentiment, inflation, interest rates, and the broader outlook for investors as global financial markets respond to evolving economic signals and changing expectations.

Disclaimer: This podcast is taken from CNA.