India could add 152 unicorns in 5 years

Welcome to our latest Business Bytes newsletter for June 21, 2024. Today's highlights include:

• India's unicorns could soar to 152 in the next five years.
• Despite record investments, clean energy efforts fall short of COP28 goals.
• Fact of the Day: Why Indian migrating millionaires prefer UAE
• SEZs escape new gold import restrictions.
• Surging demand turns India into a net steel importer in FY24.
• Indian real estate offers a staggering Rs. 14 trillion financing opportunity by 2026.

Stay tuned for more insights!

India's unicorn count could reach 152 in 5 years

India is expected to add at least 152 unicorn, or startups valued at more than US$ 1 billion, from 31 cities in the next 3-5 years to its current tally of 67 unicorns, according to the ASK Private Wealth Hurun India Future Unicorn Index 2024.

Twenty five companies dropped off the unicorn list this year. Ten companies were downgraded from gazelle to cheetah while twelve companies upgraded from cheetah to gazelle.

DID YOU KNOW?

Gazelles are startups that are most likely to become unicorns in the next three years and cheetahs are likely to achieve unicorn status in the next five years.

Record clean energy investments fall short of COP28 goals

In 2023, a record $1.8 trillion was invested in clean energy globally, yet it may not suffice to meet the COP28 goals of tripling renewable capacity by 2030. Integrating new projects into the electric grid remains a significant challenge. Despite substantial growth in renewables, higher capital costs and financing constraints are expected to impact the sector in the near future.

SEZs excluded from new gold import restrictions

The government has clarified that new import restrictions on studded gold jewelry do not apply to special economic zones (SEZs). This exemption aims to address concerns raised by SEZ units. SEZs, which contributed over one-third of India’s exports last fiscal year, will continue operating under their current regulations.?

Rising domestic demand makes India net steel importer in FY24

In fiscal 2024, India transitioned from a net exporter to a net importer of steel, recording a trade deficit of 1.1 million tonnes. This shift was driven by surging domestic demand, leading to increased imports from China, South Korea, Japan, and Vietnam.

FACT OF THE DAY

The UAE is a bigger attraction for India's rich than other popular destinations for migration, such as Australia, Singapore, Israel, Switzerland, the US, Canada, New Zealand and the UK.

Indian real estate offers Rs. 14 trillion financing opportunity

Indian real estate is set for a Rs. 14 trillion financing boom between 2024 and 2026, driven by construction finance and lease rental discounting (LRD). With significant growth in both residential and commercial segments, there's a notable gap between debt required and sanctioned. Increased participation from banks and Alternative Investment Funds (AIFs) will be crucial to support developers and make financing more inclusive.

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