In this week's wrapup, we talk about Making in India, crypto art, blue economy, US Debt and job reservations
However before we get to the wrapup, a quick note on this week's Finshots Market. This week, shares of Dilip Buildcon hit new highs (in over 2 years) after the company announced that it bagged projects worth 2,200 crores. The rally went into overdrive soon after the management vouched to double revenues in 5 years. So considering there have been so many developments, we thought we could review the company’s journey so far. Link here.
What are we really 'making' in India?
A few days ago, Chinese smartphone maker Xiaomi announced that it was opening two new mobile manufacturing plants in India after partnering with BYD and DBG India. Both vendors will be manufacturing in India. And it seems as if Chinese smartphone makers are increasingly looking to source and produce parts locally. But the real questions still remain — “What are we really making in India and how's the progress been so far?” If you are interested to know, don't forget to read the full story here.
The Mesmerizing World of Crypto Art
A few days back Mike Winkelmann (who goes by the name of Beeple online) sold multiple editions of three digital artworks and 21 unique pieces at prices well above $100,000. All in all, he raked in a cool $3.5 million over a single weekend by selling what most people call crypto-art. And if you want to understand the changing landscape of art and culture and see where crypto art fits in, don't forget to read this story here.
The Blue Economy Explained
When we look at India's map, we sometimes forget that our boundaries extend well beyond the coastlines. We are blessed with a 7500 km long shoreline and more than 2 million sq. km of exclusive economic zones — ocean territories adjoining coastal areas where India can exercise its sovereign rights. But for the better part of our history, we have ignored the ocean altogether and failed to put these resources to good use. We could have added billions to our GDP and created millions of new jobs. But we didn't and it's been a sore point for a while now. However, things are looking up. And the government is now formulating a ‘blue economy policy' that will hopefully remedy this problem and outline a strategy to put our enormous ocean resources to good use. You can read more here.
Why does everybody lend money to the US government?
The US government borrows a lot of money. Currently, they owe roughly $29 trillion—roughly 100% of their GDP. And a big chunk of this—Almost $7 trillion comes from other foreign countries. But here's the interesting bit. Even India features on this list and as it stands, the US owes us about $216 Billion. So the question is simple — Why are the likes of India lending money to the US? And why can't we stop?
If you're interest to know, you can read the full story here.
How helpful are job reservations?
A few days back, the governor of Haryana approved a bill that reserves 75% of private jobs for locals, so long as the job offers a salary of less than ₹50,000 a month. And while the government thinks this move will help protect the livelihood of those belonging to the state, there are a bunch of other considerations at play here as well. And if you want to know how all of this may play out, read the link here.