India has surpassed the United States to become the world’s second-largest contributor to global savings in purchasing power parity (PPP) terms, according to a new working paper released by the Economic Advisory Council to the Prime Minister (EAC-PM). The report, titled “The World in Purchasing Power Parity (Trends since 1992)”, highlights India’s growing economic influence, noting that the country’s share of global savings has increased sharply over the past three decades. India’s contribution rose from 3.3% in 1992 to 10.3% in 2025, placing it ahead of the US, whose share declined to 9.4% during the same period. China remains the world’s largest contributor, accounting for 31.9% of global savings.

The increase in India’s share of global savings reflects the country’s expanding economic capacity and its growing ability to generate resources for investment. Savings are considered a key driver of economic growth as they provide funding for infrastructure projects, industrial expansion, businesses, and long-term development.

The report notes that while India’s economic progress is often measured through GDP rankings, its rising contribution to global savings offers another perspective on its growing role in the international economy. The analysis uses purchasing power parity, a method that adjusts for differences in price levels across countries, allowing for a more accurate comparison of economic strength and activity.

The study examines changes in the global economic landscape between 1992 and 2025 through indicators such as global GDP share, per-capita income, savings, and investment. It highlights a major shift in economic influence from Western economies towards Asia over the past three decades. During this period, the share of global savings held by countries such as the United States, Japan, and several European economies declined, while Asian nations recorded significant gains. China’s share of global savings increased from 8.9% in 1992 to 31.9% in 2025, while India’s share more than tripled. The report suggests that this trend reflects the growing importance of Asian economies, particularly China, India, and Indonesia, in global production, investment, and financial activity.

However, despite India’s rise as one of the world’s largest sources of savings, the country continues to invest slightly more than it saves. The report estimates India’s share of global investment at 10.8%, compared with its 10.3% share of global savings. This difference contributes to India’s continued current account deficit, as the country relies on foreign capital inflows to support the gap between domestic savings and investment requirements. In contrast, China saves more than it invests, allowing it to maintain a current account surplus.

The findings underline India’s changing position in the global economy, with its expanding savings base reflecting stronger economic activity and increasing influence in global financial trends. As the country continues to grow, its ability to generate and channel savings into productive investments will remain a key factor in shaping its future economic trajectory.
Disclaimer: This image is taken from Shutterstock.

India and the European Union have reinforced their strategic partnership by expanding cooperation under the India-EU Trade and Technology Council (TTC), with both sides agreeing to accelerate collaboration in critical technologies, clean energy, digital infrastructure, and trade. The latest engagement between Indian and European officials underscored a shared commitment to strengthening economic ties while addressing global challenges such as supply chain resilience, technological security, climate change, and sustainable development.

The Trade and Technology Council, launched to provide a structured platform for high-level cooperation, has become a key mechanism for aligning priorities in emerging technologies and future industries. Unlike traditional trade dialogues, the council brings together experts and policymakers to work on issues that extend beyond commerce, including innovation, research, digital governance, and green technologies.

A major area of focus during the discussions was strategic technology. India and the European Union agreed to enhance cooperation in sectors such as artificial intelligence, semiconductors, quantum technologies, high-performance computing, secure telecommunications, and trusted digital infrastructure. Officials believe stronger collaboration in these fields will help reduce vulnerabilities in global supply chains while encouraging innovation and investment.

The two sides also reiterated their commitment to supporting research partnerships, startup ecosystems, and technology-driven businesses. By promoting joint innovation projects and facilitating knowledge exchange, both partners aim to create opportunities for companies and researchers across India and Europe.

Clean energy emerged as another priority during the discussions. India and the EU agreed to deepen cooperation in renewable energy, green hydrogen, battery recycling, sustainable mobility, and energy-efficient manufacturing. The partnership is expected to support the development of cleaner industrial technologies while contributing to global climate goals.

Officials noted that collaboration in battery recycling and circular economy practices could play an important role as demand for electric vehicles continues to rise worldwide. Increased cooperation in these sectors is also expected to encourage investment and strengthen sustainable manufacturing capabilities. Trade and investment remained central to the discussions as both sides explored ways to improve market access, simplify regulatory cooperation, and strengthen resilient supply chains. The European Union remains one of India's largest trading partners, and both economies continue to work toward expanding bilateral trade while creating a more predictable business environment for investors.

Industry experts say the growing partnership comes at a time when countries are increasingly seeking trusted economic and technology partners amid geopolitical uncertainty and shifting global trade patterns. Cooperation between India and the EU is expected to help diversify supply chains, boost industrial competitiveness, and accelerate the adoption of advanced technologies.

Analysts also believe the Trade and Technology Council could serve as a catalyst for long-term collaboration in areas such as digital public infrastructure, cybersecurity, clean manufacturing, and next-generation communication networks. As both partners seek to reduce dependence on limited supply sources and strengthen economic resilience, the council is expected to play a larger role in shaping future policy initiatives. The latest developments reflect the broader strategic relationship between India and the European Union, with both sides emphasizing that closer cooperation in technology, sustainability, and trade will not only benefit their respective economies but also contribute to a more secure, resilient, and sustainable global economic landscape.
Disclaimer: This image is taken from Indian Defence News.

India has said that the ongoing protests in Pakistan-occupied Kashmir (PoK) are a result of long-standing grievances arising from what it described as systemic exploitation, poor governance, and neglect of the region. The Ministry of External Affairs (MEA) called for greater international attention to the situation, stating that Pakistan must be held accountable for the conditions faced by people living in PoK.

The MEA said the unrest in the region should not be viewed as an isolated development but as an outcome of years of dissatisfaction among residents over economic difficulties, lack of development, and administrative issues. According to New Delhi, the protests highlight the growing frustration of people who have been demanding better governance, improved public services, and greater accountability from authorities.

The statement came amid reports of demonstrations in PoK, where residents have raised concerns over issues affecting their daily lives, including economic hardships, unemployment, rising costs, and shortages of essential facilities. The protests have drawn attention to broader questions surrounding governance and resource distribution in the region.

India has consistently accused Pakistan of failing to ensure adequate development and political rights for people in areas under its control. The government has argued that decades of neglect have contributed to public dissatisfaction and unrest in PoK. MEA officials said the international community should take note of the situation and examine the challenges faced by the people of the region. India has maintained that issues related to human rights, economic opportunities, and public welfare should receive global attention.

The latest remarks also come against the backdrop of the long-running India-Pakistan dispute over Jammu and Kashmir. India has repeatedly stated that the entire Union Territory of Jammu and Kashmir, including territories currently under Pakistan’s control, is an integral part of the country. Pakistan, however, continues to contest India’s position on the matter.

Experts believe that the protests in PoK reflect wider concerns about governance and economic stability in the region. They say addressing public grievances, improving infrastructure, and ensuring meaningful participation in decision-making processes will be crucial for restoring confidence among residents. India’s call for global accountability adds another dimension to the ongoing diplomatic debate between the two neighbouring countries. As protests continue to draw attention, the response of Pakistani authorities and their approach toward addressing local demands will remain closely watched.
Disclaimer: This image is taken from AFP.

Islamabad: Pakistan’s energy crisis is facing fresh uncertainty as a dispute over liquefied petroleum gas (LPG) pricing has raised concerns about a possible shortage across the country. LPG industry representatives have warned that unresolved issues between suppliers and authorities could disrupt the supply chain and create difficulties for millions of consumers who rely on the fuel for everyday needs.

The warning comes at a time when Pakistan is already dealing with major energy challenges, including rising fuel costs, supply constraints, and pressure on household budgets. LPG has become an essential source of energy for a large section of the population, particularly in areas where natural gas connections are either unavailable or unreliable.

Industry stakeholders have claimed that disagreements over the pricing mechanism are affecting the smooth operation of the LPG market. Importers and distributors argue that current policies have increased uncertainty for businesses, making it difficult to maintain stable supplies while managing rising costs.

The LPG Importers Association of Pakistan has urged the government to step in and resolve the dispute before it develops into a wider crisis. The association has warned that delays in addressing pricing concerns could impact imports, distribution networks, and availability of LPG cylinders in different parts of the country.

Consumers are likely to bear the impact if the situation worsens. Any reduction in supply could push market prices higher, increasing financial pressure on households already struggling with inflation. Small businesses, restaurants, and commercial users that depend heavily on LPG could also face higher operating costs.

Pakistan’s energy sector has repeatedly faced difficulties due to its dependence on imported fuels and exposure to global market fluctuations. Currency pressures, international energy prices, and supply chain challenges have often contributed to instability in domestic fuel markets. Energy experts believe that a long-term solution requires a transparent pricing system, better storage facilities, and stronger supply management. A stable LPG market would not only protect consumers from sudden price shocks but also provide greater confidence to importers and distributors.

The government is now under pressure to bring industry representatives and regulators together to find a solution. A timely agreement could help prevent shortages and maintain uninterrupted LPG supplies, while failure to resolve the dispute may deepen Pakistan’s ongoing energy challenges. For millions of Pakistani households that depend on LPG for cooking and heating, the outcome of the current dispute will be closely watched in the coming days.
Disclaimer: This image is taken from Reuters.

On the July 13 edition of Open For Business, Andrea Heng and Hairianto Diman spoke with Mel Siew, Head of Asia Public Credit at Muzinich & Co., to examine the latest market trends. The discussion covered the resilience of Asian credit markets, growth opportunities in AI infrastructure, and the potential inflationary impact of rising oil prices on the global economy.

Disclaimer: This podcast is taken from CNA.

On the 2 July episode of Open For Business, Andrea Heng and Hairianto Diman sit down with Lorraine Tan, Morningstar's Director of Equity Research for Asia, for an in-depth analysis of the markets.

Disclaimer: This podcast is taken from CNA.

In a world increasingly dominated by digital wallets and quick online payments, cash is often viewed as outdated. Yet, for many people — from elderly citizens concerned about digital scams to families making everyday purchases at hawker centres — physical money remains a dependable and familiar way to pay. Andrea Heng and Hairianto Diman explore the importance of creating a payment ecosystem that remains accessible and inclusive for all. They speak with Wong Wanyi, FinTech Leader at PwC Singapore, about the role of cash in a rapidly changing financial landscape.

Disclaimer: This podcast is taken from CNA.

A decade after the Brexit referendum, the United Kingdom is again facing a leadership transition, with the departure of Prime Minister Keir Starmer set to bring the country its seventh prime minister in just over 10 years. This frequent turnover reflects the ongoing political instability linked to the long-term effects of the Brexit. As nominations open on 9 July and a new prime minister is expected by September, analysts are examining what this latest leadership crisis reveals about Brexit’s lasting impact on British politics and governance, including insights from political analyst Alexander Hilton of Skystamper.
Disclaimer: This podcast is taken from CNA.