News Digest: Hard time for Tata Nano, robust FPI inflows, and more

India-focused funds continue to see robust inflows

After sharp outflows in August and September, the Indian market is once again experiencing a positive investment spell from overseas investors. Foreign portfolio investors (FPIs) have poured nearly $3 billion into domestic stocks since August. A large part of these flows have come from India-focused offshore funds. These are actively managed funds that exclusively invest in select Indian securities, unlike exchange-traded funds (ETFs) which track indices such as the Nifty 50 or the S&P BSE Sensex.
Read more

Dealers stop placing orders for Tata Nano

Tata Motors’ Nano, the cheapest car launched in recent times, is now also among models clocking lowest monthly production and sales volume (in double digits to be precise). The average daily production of just two Nano cars at the company’s Sanand plant is indication enough that this vehicle is now as good as obsolete. Dealers of Tata Motors in most parts of the country have stopped placing orders for this small car in the last three-four months and the showrooms are displaying contemporary models such as Tiago, Tigor, Hexa and Nexon. Read more

Tyremakers to invest Rs 35,000 crore in 5 years

During the same time last year, the capacity utilisation of the tyre industry was 65-70 per cent. It is not only growth in the automobile industry that has helped the tyre segment. Growth has been aided by government policies also, said Satish Sharma, chairman, Automotive Tyre Manufacturers’ Association (ATMA), which claims to represent about 90 per cent of tyremakers. Read more

Are you a credit risk? Banks dig deep in your phone to find out

Indian banks have started mining data on customers’ smartphones for fast loan approval, testing out cutting-edge but controversial technology in what is potentially a huge market for such products. Long hampered from lending to the hundreds of millions of Indians without credit histories, banks are hoping to slash risk-assessment costs and trigger a new wave of consumer lending with apps that look at everything from Facebook connections to online shopping habits to rate potential borrowers. Read more