OPINION, P10 FE LINES WELL BEING Bullhorn economics Celebrating Elton John NEW RED FLAG FOR SCREEN ADDICTS People can get a glimpse of the singer's life later this month in New York Page 6 Excessive screen time can even cause physical changes to the brain of kids and youngsters, recent studies have found Page 7 ACROSS THE AISLE, P CHIDAMBARAM WORDS WORTH Follow us on Twitter & Facebook. App available on App Store & Play Store WWW.FINANCIALEXPRESS.COM VOL XX, NO. 41 INTERVIEWWITH KAI BIRD Engagement between scientists and artists is creating a new language about the urgency of tackling climate change ■ IDEA EXCHANGE, P8 Samrat Choudhary Ram Mandir dream fulfilled, Modi now has only one agenda, that of development, says the Bihar deputy CM PTI DRIVING GROWTH ■ This is not just the largest- ever automotive investment in Odisha but largest in east India ■ Actual production to begin in FY27, say sources 11,000 jobs likely to be created from project ■ Construction offacilities expected to start by end ofthis year 50 Gwh battery plant with cell production for both mobility and energy storage on anvil production is expected to begin in FY27, JSW group sources said.The state government and JSW expect to create 11,000 jobs from the project. This is not just the largest- everautomotive investmentin Odisha but the largest in the east of the country, which has so far failed to have a presence on India’s automotive landscape, as Haryana, Gujarat, Tamil Nadu and Maharashtra have dominated investments in this sector. Commenting on the development,Odisha chief minister Naveen Patnaik said,“Through ourcollaborationwith the JSW Group,we are setting the stage for a future where innovation drives our industrial growth, ensuring that the youth of Odisha have access to the skills and jobs that will define the next generation of economic development.” SajjanJindal,chairman,JSW Group, said,“Our long-standing relationship with Odisha and its people forms the foundation of our newventure.” Continued on Page 2 Imran’s party plans Gaming cos innovating to NEWS to form govt in Pak survive 28% GST burden IN THE FM SLAMS CONG ● Uncertainty OVER INFLATION DURING UPAGOVT persists as poll ACCUSING THE results still not in UPA government of mismanaging the price situation after taking charge in 2004, finance minister Nirmala Sitharaman on Saturday mocked the grand old party, saying 'gur ko gobar karna inki maastaree hai' (Congress has a mastery of ruining something that has been accomplished). ■ PAGE 23 ELECTORAL BONDS: BJP GOT `1.3K CR IN ‘22-’23 THE BJP got nearly `1,300 crore through electoral bonds in 2022-23, which was seven times more than what the Congress got in the same period through the same route. The BJP's total contributions stood at `2,120 crore in the 2022-23 fiscal, of which 61% came from electoral bonds, as per the party's annual audited report submitted to the Election Commission. ■ PAGE 23 KUNAL DOLEY New Delhi, February 10 IN A BID TO offset some of the impact on theirmargins hit by the 28% Goods and Services Tax (GST), over four months after it came into effect on October 1, the online gaming industryis looking to innovate and even incentivise users. “Operating costs of gaming companieshaveincreasedby4x to6xtimesaftertheimplementation of 28% GSTon deposits. Companies are trying to offset this increased cost by reducing theirmarketingbudgets,laying off employees and adoption of other cost-cutting measures at different levels to survive,”said Aman Gupta, VP, finance, WitzealTechnologies,agaming companythatoperatesthepopularBig Cash platform. Asperreports,majorindustryplayershavealreadystarted providing special cashback offers and incentives to offset the GST burden on players. Some of them are also looking to put more moneyinto advertisementsandcreatenewusers to increase profitability. Witzeal Technologies, too, is “looking for other innovative models on the product side to provideacutting-edgegaming REUTERS Islamabad, February 10 CANDIDATES BACKED BY the party of jailed Pakistani opposition leader Imran Khan plan to form a government,a senior aide to the former prime minister said on Saturday, urging supporters to peacefully protest if final election results are not released. PakistanvotedonThursday and both Khan and his main rival,three-time formerprime minister Nawaz Sharif, declared victory on Friday, increasing uncertainty over whowillformthenextgovernment at a timewhen swift policy action is needed to address multiple challenges. Gohar Khan, chairman of Khan's Pakistan Tehreek-Insaf (PTI) party who also acts as the formerprimeminister’slawyer, called on “all institutions” in Pakistan to respect his party's mandate.Atapressconference, hesaidifcompleteresultsofthe polls were not released by Sat- Former Pakistani PM Imran Khan claiming victory through a message created using artificial intelligence urday night, the party would hold peaceful protests on Sundayoutsidegovernmentoffices returning election results around the country. Sharif said on Friday his party had emerged as the single largest group and would talk to other groups to form a coalition government. By 5 pm local time on Saturday, results were still not in for 10 of the 265 seats contested in the election—48 hours since the polls closed. Thelatesttally,postedonthe election commission’s website, showed independent candidates had won 100 seats,with Sharif’s Pakistan Muslim League-Nawaz taking 72 seats. Continued on Page 2 INNOVATION AT PLAY ■ Some looking to put more money into ads, create new users to increase profitability Companies trying to offset increased cost by reducing marketing budgets ■ ■ Others looking to enhance existing games to increase user engagement ■ Major players have already started providing special cashback offers INSIDE Taxing times for online gaming Insiders are sceptical of the industry surviving the heavy GST stress P5 experience to our users by enhancing our existing games and introducing other innovative things to increase user engagement”,saidGupta,without giving further details. AsperManishMishra,partner,and head of practice,indirect tax, JSA Advocates and Solicitors,industry players are also introducing new variations in their gaming models to keep consumers hooked. “Anotheroption that theymay explore is to introduce games withalow-entrythresholdand with a wide player base to ensure that the consumer is not impacted by the quantum of tax suffered,”he added. In the backdrop of the 28% GST implementation,there are twostrategicoptionsthatonline gaming companies are exploring at this stage, as per Kishore Kumar,lead,GST and customs, TaxmannAllied Services. HIGHEST IN 3 YEARS EPFO proposes 8.25% interest rate for 2023-24 PRIYANSH VERMA New Delhi, February 10 THE CENTRAL BOARD of Trustees (CBT) of the Employees’Provident Fund Organisation (EPFO) on Saturday recommended an interest rate of 8.25% for 2023-24, the highest in three years. In 2022-23, the Board had recommended an interest rate of 8.15%. The rate will be officially notified after the mandatory approval by the finance ministry, and subsequently, EPFO will credit the funds—`1.07 trillion—to over 65 million subscribers’accounts. The interest accrued on a principalamountofabout`13 trillionfor2023-24.Intheprevious fiscal year, the distributed amount was `91,151 crore on a principal amount of `11.02 trillion. Post the distribution, the retirementfundbodywouldbe left with a surplus of about `280crore,whichislowerthan RATE RISE Interest rate on provident fund deposits (in %) 8.65 8.5 8.5 8.1 8.15 8.25 2018-19 2019-20 2020-21 2021-22 2022-23 2023-24* * Recommended by EPFO aboutthe`664croresurplusin 2022-23, sources said. At an interest of 8.2%, the surplus leftwithEPFOwouldhavebeen around `900 crore,they said. Continued on Page 2 FPIs in exit mode January saw a net outflow of over $3 billion by FPIs, amid escalation of geopolitical conflicts and concerns over highvaluations.This followed a near $8 billion net purchase in December. IT, oil & gas, and telecommunications saw net purchases by FPIs, but financial services saw a net sell-off of $3.6 billion during the month. FMCG and automobileswere other sectors that saw sell-offs. Experts have said that valuations do remain a concern, andwith encouraging data from the US, FPIs are reducing positions in emerging markets. — Siddhant Mishra & Kishor Kadam SECTORS WHERE FPIs WERE Net purchasers ($ m) 540 418 319 309 Net sellers ($ m) 110 FPI net equity investments ($ m) 10,000 During January 2024 5,744 June 2023 7,500 5,000 2,500 0 -2,500 -5,000 -3,536 January 2023 Source: NSDL Continued on Page 2 P U N E -196 Articulating science THE JSW GROUP signed a memorandum of understanding with the Odisha government on Saturday for setting up an integrated electric vehicle (EV) and EV battery manufacturing project at Cuttack and Paradip. The project, which envisagesaninvestmentof`40,000 crore over a three-year time period,aims to have manufacturing capacities for electric commercial (100,000 units per annum) and electric passengervehicles (300,000 units per annum). A50Gwhbatteryplantwith cellproductionforbothmobility and energy storage system, autocomponentslikee-powertrain, a research and development centre, lithium refinery andacoppersmelterarepartof the investment plan. After getting the required approvals, construction of the facilities is expected to begin by the end of this year. Actual D E L H I , Metals & mining SWARAJ BAGGONKAR Mumbai, February 10 N E W -210 JSW Group chairman Sajjan Jindal (left) with Odisha CM Naveen Patnaik (second from left) during the signing of the MoU on Saturday M U M B A I , -250 Odisha joins Motown club with JSW’s `40k-cr pledge ● MoU signed to set up plants for EVs,batteries ■ LEISURE, P9 L U C K N O W , Automobile & auto components Media entertainment & publication K O L K A T A , -319 K O C H I , FMCG H Y D E R A B A D , -3,612 C H E N N A I , Financial services WHAT'S INSIDE C H A N D I G A R H , Consumer services B E N G A L U R U , Power F R O M : A H M E D A B A D , Telecommunication P U B L I S H E D READ TO LEAD Oil, gas & consumable fuels SUNDAY, FEBRUARY 11, 2024, 26 Pages, `12 Information technology FINANCIAL EXPRESS ON SUNDAY HYDERABAD ‘We need scientists to speak up, explain new tech to us so it isn’t damaging’ Page 4 -3,098 January 2024 larly updated.“It has seen regular design changes, a generation change every six-seven years, has a very strong brand 129,968 Maruti Suzuki Ertiga 136,010 Maruti Suzuki Eeco 150,182 Tata Punch 157,311 Hyundai Creta 157,522 Maruti Suzuki Dzire 170,311 Tata Nexon 170,588 193,989 Maruti Suzuki Baleno Swift to cross 3-million unit mark in sales by middle of this year 201,301 (in units) Maruti Suzuki Wagon R premium hatchback, Swift, to cross the 3-million unit mark in sales by the middle of this year.Aroundthesametime,the company is likely to give the model a facelift by launching a new variant, a model of which was displayed at the Japan MobilityShow 2023 inTokyo. Swiftwas the largest selling carinthecalendaryear2023.It sold 203,469 units,more than models such as the Wagon R (201,301 units), Baleno (193,989 units), Brezza (170,588 units), Tata Nexon (170,311 units) or even TOP 10 CARS OF 2023 203,469 MARUTI SUZUKI EXPECTS its HyundaiCreta(157,311units). “Sales trend has proved the timelessness of this hatchback,” an industry analyst toldFE.“Itstoodupnotonly against new-age SUVs,but alsoagainstmodernhatchbacks such as the all-new Baleno,” he added. The Swift was first launched on May 25, 2005, and hit the 500,000-sales mark in 2010.It then hit the 1million-sales mark in 2013, 1.5 million in 2016, 2 million in 2018,2.5 million in 2021. Gaurav Vangaal, associate director,lightvehicle forecasting, S&P Global Mobility, said theSwift—despitebeinganold nameplate—has been regu- Maruti Suzuki Swift VIKRAM CHAUDHARY New Delhi, February 10 Maruti Suzuki Brezza Swift in sales, Maruti's hatchback aims higher with facelift Source: Industry value,is anaspirationalvehicle in rural and semiurban markets,and is now even available in CNG,”he said. “The Baleno was a strong competitor, but some of its sales have been taken by the Fronx(thecrossoverSUVbased on the Baleno),”he added. Shashank Srivastava,senior executive officer, marketing & sales,Maruti Suzuki India,told FE that the success of the Swift lies in its ageless design, low maintenance, high fuel efficiency, and the ability to cater to the right customer. “As far as engineering and design changes are concerned, after its launch in 2005, the Swift got the diesel engine almost immediately on January 23, 2007 (thus catering to thehighdieseldemandbackin those days),the second-generation model was launched on August 17, 2011, and the third-generation on February 8,2018.OnAugust 12,2022,it got factory-fitted CNG kit in VXi and ZXi trims, with a claimed fuel efficiency of 30.9 km/kg,”Srivastava said. “When customers wanted diesel, it was there, when they wanted petrol, it was there, when they wanted CNG,it was there. During its almost twodecade journey, the Swift has created tremendous brand value amongst Indians.That’s a major reason why it remains one of the highest selling cars in India,and topped the charts in 2023,”he added. The Swift has also not been impacted by the SUV wave sweepingthemarket.Srivastava said despite being a hatchback, it’s got a very SUVish kind of bold design.“Some hatchbacks maylook punyin front of SUVs, not the Swift,” he said. HYDERABAD