Good morning, readers. The trade track is heating up again. India and Bahrain have officially opened talks for a Comprehensive Economic Partnership Agreement – adding fresh momentum to India’s growing web trade ties in MENA. Meanwhile, the Abu Dhabi Investment Authority is keeping its streak alive, anchoring the USD 754 mn IPO of Groww, India’s largest public listing this year.

Back home, Delhi is quietly resetting ties eastward too – fast-tracking import approvals from China and seeing factory activity climb to a 16-month high on strong domestic demand. Energy dynamics are shifting too: Indian refiners are trimming Russian crude buys in favour of Gulf and African barrels, while Saudi price cuts bring long-awaited LPG relief to Indian households. And from policy to startups, Modi has unveiled a USD 12 bn deep-tech fund, while Urban Company sets up shop in the UAE – a reminder that India’s next wave of innovation is increasingly global in ambition.

WATCH THIS SPACE-

#1- India plans to expedite pending approvals for imports from China, including electronics parts, steel, footwear, and household items, The Economic Times reports. The Commerce Ministry has asked manufacturers to notify it regarding delays in import licenses, which will be approved on a case-by-case basis.

A sign of warming bilateral ties: The government had frozen approvals of import of machinery and goods following border clashes with China in 2020. However, Beijing has resumed rare earth magnet exports to India amid a broader bilateral reset following Narendra Modi’s meeting with Xi Jinping last month. The changed policy stance will go hand-in-hand with government localization moves as supply chain disruptions remain a key challenge. Direct flights and Chinese business visas have also resumed. However, restrictions mandating government approval for Chinese FDI remains are still in place.

#2- India’s manufacturing sector recorded stronger growth in October, with the HSBC Manufacturing Purchasing Managers’ Index (PMI) rising to 59.2, up from 57.7 in September, Business Standard reports. The growth was led by strong domestic demand and new business orders, marking the 52nd consecutive month of expansion. GST relief, productivity gains, and technology investment remained key drivers of overall factory output, the outlet added, citing a survey.

#3- Prime Minister Narendra Modi met exporters from key labor-intensive sectors on Tuesday, including apparel, leather, gems and jewellery, handicrafts, engineering, and seafood, to discuss ways to protect the country’s export competitiveness, Business Today reports. The meeting comes as these sectors grapple with steep 50% tariffs imposed by the US on most Indian goods. Finance Minister Nirmala Sitharaman, Commerce Minister Piyush Goyal, and senior bureaucrats attended the closed-door session.

What exporters want: The US remains the largest market for these sectors, making up nearly one-third of total outbound shipments. Exporters sought financial cushioning, including interest support and targeted relief. The government is encouraging businesses to pursue diversification of exports towards the EU and Russia — even as India negotiates a bilateral trade pact with Washington DC.

The needle moves: Indian exports rose 6.7% y-o-y in September to USD 36.3 bn, while imports jumped 16.6% to USD 67.5 bn, widening the trade deficit to USD 31.1 bn. Exports of textiles, garments, and made-ups have fallen 37% since May 2025 to USD 597 mn, as per GTRI data.

#4- The Enforcement Directorate (ED), India’s financial crime agency, has provisionally frozen assets worth INR 30.8 bn (USD 351 mn) linked to the Reliance Anil Dhirubhai Ambani Group (Reliance ADAG) as part of money-laundering probe tied to loans disbursed by private-sector lender Yes Bank, Reuters reports. The properties, including Anil Ambani’s Mumbai residence and other land parcels across Mumbai, Delhi, and Chennai, have been blocked from any transactions.

Loan trail: The investigation involves loans of over INR 50 bn (USD 568 mn) extended between 2017 and 2019 to Reliance Group units Reliance Home Finance and Reliance Commercial Finance. Investigators allege about INR 30 bn (USD 350 mn) was siphoned off through shell firms and mutual fund routes in violation of lending norms. The ED is also examining possible fund diversions of more than INR 136 bn (USD 1.55 bn) linked to Reliance Communications and its affiliates.

#5- The Reserve Bank of India (RBI) will meet select primary dealers and banks to discuss tightening liquidity conditions that have pressured the government bond market, Reuters reports, citing unnamed sources. The meeting comes amid the central bank’s unexpected cancellation of an INR 110 bn (USD 1.25 bn) auction in seven-year government securities last week, prompting a seven-basis-point fall in benchmark bond yields.

Banking system liquidity has oscillated between surplus and deficit in recent weeks, dampening market sentiment. The RBI wants to prevent borrowing costs from rising too much and may tweak bond auction schedules or persuade states to borrow less, the newswire adds. RBI Governor Sanjay Malhotra also said there remains room for yields to decline.

#6- UAE consortium goes to India’s Supreme Court over redevelopment dispute: Dubai-based consortium SecLink Technologies has brought a case involving the restarting of a tender for the Dharavi redevelopment project before India’s Supreme Court, Khaleej Times reports.

IN CONTEXT- The redevelopment of Dharavi, a 2.4 sq km informal settlement in Mumbai, was estimated to generate more than AED 125 bn in long-term commercial value. SecLink said it had secured USD 4 bn-equivalent in bank guarantees for the project and has shouldered some AED 3.8 bn in costs due to the exposure.

What happened? SecLink Technologies — named the highest bidder in 2019 for the multi-year redevelopment of Dharavi, one of the world’s largest informal settlements — argued that the state of Maharashtra cancelled the original tender after it was informally selected, and later issued a 2022 tender with revised criteria that prevented SecLink from reapplying. A special purpose vehicle led by Indian conglomerate Adani Group then secured the second tender.

The response: The state argued the original tender had to be cancelled as it didn’t include the adjoining railway. SecLink maintains that the original tender already accounted for it.

Where we’re at: The Supreme Court noted that the new terms may have been structured to disable or oust SecLink, ordered all original files from 2018 onward to be examined, and said it will monitor all payments relevant to the project pending a final examination. The next hearing is set for 13 November.

DATA POINTS-

India’s richest 1% increased their wealth by 62% between 2000-2023, per the World Inequality Database, with a new G20-commissioned report led by Nobel laureate Joseph Stiglitz warning global inequality has now reached “emergency levels.” The richest 1% globally captured 41% of all new wealth created between 2000-2024, while the bottom 50% received just 1% — raising risks for democracy, economic stability, and climate action. While China and India narrowed inequality marginally at a global distribution level, sharp within-country inequality has worsened across most nations.

PSAs-

Indian-carrier Akasa Air is evaluating new routes into UAE, Egypt, Kenya and Ethiopia as part of its next phase of global expansion including a new route to Sharjah, Business Standard reports, citing CEO Vinay Dube. The three-year-old carrier, which currently flies to six overseas Gulf and Asia markets, operates 30 Boeing 737 MAX aircraft with firm orders for 226 more.

HAPPENING THIS WEEK-

Saudi Arabia’s Media Ministry launched the second Global Harmony initiative, with India Week serving as the opening celebration in the Riyadh season festival, Press Trust of India reports. Part of the kingdom’s Vision 2030 quality-of-life program, the event celebrates the cultural diversity and contributions of residents. Featuring Indian music, dance, cuisine, and crafts, the week celebrates longstanding Indian ties with Saudi Arabia. Indian Ambassador Suhel Ajaz Khan called the event a vital step in nurturing cross-cultural understanding and people ties.

India will showcase its inclusive growth model at the Second World Summit for Social Development (WSSD-2) in Doha, Qatar, from 4-6 November, The Hindu Businessline reports. Led by Labour and Employment Minister Mansukh Mandaviya, the Indian delegation will showcase progress in digital governance, poverty reduction, and social protection — highlighting how nearly 248 mn people have exited multidimensional poverty since 2011.

THE BIG STORY ABROAD-

US midterm elections are taking over headlines this morning, with heated races across the country that will serve as a litmus test of whether President Trump’s policies are appealing to voters. Democratic socialist Zohran Mamdani has been projected to become New York City’s first Muslim mayor, beating Trump-supported Andrew Cuomo, while an anti-Trump campaign in Virginia managed to snatch a victory for its first female governor Abigail Spanberger. (Washington Post | Reuters | CNN | Financial Times)

ALSO- Chipmaker AMD’s sales beat analyst estimates in 3Q, logging a 36% increase to USD 9.25 bn. However, a revenue forecast of USD 9.6 bn for the fourth quarter alarmed investors who jumped in on the stock’s rally, leading shares to fall over 3% in extended trading.

AND- More tech layoffs? IBM said yesterday it will lay off “a low single-digit percentage” of its global workforce in 4Q. Just cutting 1% of the workforce would see 2.7k jobs lost, according to IBM’s headcount at the end of 2024. Layoffs have been getting more frequent lately, with Amazon cutting 14k jobs in October and Meta gutting its AI unit amid an increasing reliance on AI tools.

ALSO WORTH NOTING THIS MORNING-

• Former US vice president Dick Cheney has passed away at 84. The “war on terror” architect is considered the most powerful VP in modern US history, overseeing devastating military interventions that included the 2003 Iraq war. (CNN)
• Norway’s sovereign wealth fund is not going to vote for Elon Musk’s USD 1 tn pay package, concerned about “the total size of the award, dilution and lack of mitigation of key person risk.” (The Guardian)
• Apple is getting ready to enter the low-cost laptop market, working on a budget Mac geared for light users, unnamed sources told Bloomberg.