Inflation: What it is and How to control Inflation rates

How to tackle inflation


BY: Pankaj Bansal


Inflation is the sustained increase in the general price level of goods and services in an economy over a period. When inflation rises, each unit of currency buys fewer goods and services, eroding purchasing power. Economists measure inflation through indices like the Consumer Price Index (CPI) and the Producer Price Index (PPI), which track changes in prices over time.


Causes of Inflation


There are several primary causes:

1. Demand-Pull Inflation: This occurs when demand for goods and services exceeds supply, often due to an increase in consumer spending, government expenditures, or investment. It “pulls” prices up as businesses raise prices in response to higher demand.

2. Cost-Push Inflation: This is when production costs increase (e.g., due to rising wages or raw material costs), prompting producers to raise prices to maintain profit margins. Cost-push inflation can result from higher commodity prices, increased labor costs, or supply chain disruptions.

3. Built-In Inflation: Sometimes called “wage-price inflation,” it arises from a feedback loop where rising wages increase production costs, leading businesses to raise prices. Higher prices then lead workers to demand higher wages, creating a cycle of inflation.

4. Monetary Policy: When central banks increase the money supply too quickly, it can lead to inflation. With more money circulating, demand can outstrip supply, pushing prices higher.



Effects of Inflation


 Reduced Purchasing Power: People can buy fewer goods and services with the same amount of money.

 Uncertainty in Business Investment: High inflation can create uncertainty, causing businesses to delay or reduce investments.

 Income Redistribution: Fixed-income earners and those without investments may find their purchasing power eroding, while borrowers benefit as debts are repaid with devalued currency.

 Interest Rate Adjustments: Central banks often raise interest rates to combat high inflation, which can affect borrowing and economic growth.



How to Control Inflation Rates

Controlling inflation involves managing demand and supply factors, which is typically overseen by central banks and government policies. Here are common methods:

1. Monetary Policy Adjustments:

o Interest Rates: Central banks, like the Federal Reserve or the European Central Bank, adjust interest rates to control inflation. Higher interest rates make borrowing more expensive, reducing spending and cooling demand.

o Open Market Operations: Central banks can buy or sell government bonds to regulate the money supply. Selling bonds reduces the money supply, potentially slowing inflation.

o Reserve Requirements: By adjusting the amount of funds that banks must hold in reserve, central banks can influence how much money is available for lending.


2. Fiscal Policy:

o Reducing Government Spending: Governments can cut spending to reduce demand in the economy, which may help cool inflation.

o Tax Adjustments: Raising taxes can reduce disposable income, which can lead to a decrease in demand and, in turn, inflation.


3. Supply-Side Policies: Improving productivity and reducing production costs can help control inflation from the supply side. Investments in technology, deregulation, and subsidies for production can make it easier for businesses to supply goods at stable prices.

4. Wage and Price Controls: While controversial and less common in modern economies, governments sometimes impose controls on wages and prices to prevent rapid inflation.


However, these measures are often temporary, as they can lead to shortages and other economic distortions.


5. Exchange Rate Management: Some countries control inflation by managing their currency value. A stronger currency can make imports cheaper, which can reduce inflation, though it can also make exports less competitive. 


Challenges in Controlling Inflation   

Controlling inflation is often a balancing act. Raising interest rates or cutting government spending can control inflation, but it may also slow economic growth or lead to unemployment. Central banks and governments need to assess economic conditions carefully, as measures to curb inflation can sometimes have unintended side effects, like recession.


Pankaj Bansal is the founder of NewsPatrolling

Adopting eco-friendly building practices, reducing carbon footprints, energy-efficient designs in Real Estate Sector

Real estate sector steering through storms

With dynamics changing by the day, the real estate sector is bracing itself to steer through storms and we shall discuss how leaders tackle today's uncertain world. 

The real estate sector has always been unpredictable. From fluctuating interest rates to shifting buyer preferences, regulatory uncertainties, and the rising importance of sustainability, the sector is in constant flux. Hence, leaders in the sector are adapting to these evolving dynamics and trends.

Agility and innovation have become absolutely necessary tools for real estate leaders in this competitive market. The pandemic, notably, reshaped the sector trends overnight, with buyers prioritizing larger homes with flexible spaces for work and leisure. Meanwhile, sustainability and wellness are emerging as key factors influencing purchasing decisions. Further, factors like macroeconomic and geopolitical forces are reshaping the sector in profound ways. Persistent inflation and rising interest rates have increased borrowing costs, making both residential and commercial property purchases more expensive. This environment challenges affordability and slows demand, pushing real estate leaders to rethink pricing strategies and explore creative ways to maintain customer interest.

Besides, the real estate sector is increasingly shifting towards sustainability, with leaders adopting eco-friendly building practices and energy-efficient designs. This shift reflects a growing awareness of the environmental impact, regulatory pressures, and demand from consumers and investors for more sustainable and responsible developments. To meet these demands, leaders are integrating green practices throughout the building lifecycle. Many new projects emphasize energy efficiency through smart systems, solar panels, and high-performance insulation to reduce carbon emissions and operational costs.

Additionally, there is a heightened focus on creating community-centered environments where residents can connect and engage with one another. The real estate sector now includes shared spaces like gardens, fitness centers, and communal lounges, fostering a sense of belonging. These spaces are carefully crafted to promote physical and mental well-being, providing residents access to healthy living options, such as outdoor activity areas, meditation zones, and eco-friendly designs.

Rajjath Goel, Managing Director, MRG Group says, “Real estate today demands that we look beyond conventional wisdom. As developers, we embrace innovation while staying grounded in our core values. At MRG Group, we’ve invested in green technologies that not only reduce carbon footprints but provide long-term cost benefits. Sustainability is at the heart of everything we do, ensuring that our developments contribute positively to the future."

Harinder Singh Hora, Founder Chairman, Reach Group, says, “Amid the evolving consumer needs, adapting to change has become a necessity. At Reach, we believe in more than just functionality and offer a truly enriching experience for our customers. Our project’s design processes go beyond aesthetics and extend to a deep understanding of human behaviour. We develop spaces and offices that serve as invigorating grounds of collaboration and destinations that inspire a feel-good factor.”

Uddhav Poddar, Chairman and Managing Director of Bhumika Group shares, “In today’s ever-evolving work-life landscape, it’s essential for leaders to adopt resilient strategies that drive sustainable growth. By focusing on high-demand property types, we can help stabilize returns, especially in markets with consistently strong demand.

“At Bhumika Realty, our portfolio encompasses a wide range of thoughtfully designed residential, commercial, and mixed-use projects, all celebrated for their purpose-driven architecture and sustainable practices. Our unwavering commitment to quality, transparency, and customer satisfaction remains at the heart of everything we do. We are devoted to creating vibrant spaces that elevate the lives of their inhabitants, fostering not only functional, but truly meaningful living environments.”

Roshy Chhillar, Director, Landmark Group says, “Diversity in leadership plays an important role in innovation and relevance in real estate offerings. Female leaders in real estate bring invaluable perspectives that help shape more inclusive, community-focused housing solutions. Their leadership often emphasizes empathy, attention to detail, and a keen awareness of diverse lifestyle needs, all of which enhance decision-making and drive meaningful change within the industry. At Landmark, we believe in creating environments that support life, work, and well-being where people can thrive.”f

Looking ahead, through adaptive strategies, leaders are meeting the evolving needs of modern buyers. The drive towards eco-friendly, resilient, and inclusive developments reflects a commitment to both market relevance and responsible growth. As these leaders steer through economic, social, and environmental challenges, they’re not only shaping the real estate landscape but also contributing to a more sustainable and inclusive future.

Actress Raima Sen Embarks on a Blissful Adventure Holiday in Dehradun and Kalesar

Raima Sen adventure holiday in Dehradun

Renowned actress Raima Sen recently treated herself to a well-deserved getaway, exploring the breathtaking landscapes of Dehradun and Kalesar. Known for her stellar performances and versatile roles, Raima took a break from her busy schedule to reconnect with nature and embrace the serenity of the mountains. Her vacation photos have left fans mesmerized, showcasing her enjoying every moment of her adventurous escape.


During her trip, Raima indulged in sunrise treks, immersing herself in the beauty of the natural surroundings. One of her most captivating pictures shows her playfully “holding” the sun, an image that captures her cheerful spirit and love for scenic views. Her radiant smile and relaxed demeanor reveal just how much she cherished the peaceful atmosphere of these picturesque locations. Another photo highlights Raima in an open jeep, exuding confidence and joy as she explores the lush terrain of Kalesar.

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Her Dehradun and Kalesar holiday reflects her adventurous side and passion for the outdoors. The actress, who is often seen in the hustle and bustle of film sets, took this time to relax, unwind, and immerse herself in the natural beauty of India’s hidden gems. This break has not only rejuvenated her but also given fans a glimpse of her off-screen persona—one that loves nature, adventure, and the simple joys of life.


With her social media posts capturing this enchanting journey, Raima Sen continues to inspire fans to embrace travel, adventure, and self-care. Her Dehradun and Kalesar retreat exemplifies the perfect balance between adventure and tranquility, making her holiday an unforgettable experience.

   

Stocks surpass Mutual Funds as the preferred investment option among Gen Z by 39%

Nearly 4 in 5 individuals save money to invest for future financial security

Young Indians Savings Habit Outlook 2024


November 11, 2024, Mumbai, India: In a recently released report Fin One: Young Indians’ Saving Habits Outlook 2024, shedding light on the evolving financial behaviors of Millennials and Gen Z across India, released by Fin One, a digital-first initiative by Angel One Limited. The data for the report was compiled by leading research firm, Nielsen. The report reveals that 93% of young adults are consistent savers, with majority saving 20-30% of their monthly income. Additionally, stocks have emerged as the preferred investment choice, with 45% of respondents favoring them over more traditional options such as fixed deposits or gold.

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The report draws data from 1600+ young Indians in more than 13 Indian cities, benchmarking four key areas: saving behavior, investment preferences, financial literacy and the use of technology and financial tools. This first report on saving habits from Fin One also highlights significant regional variations in saving practices.


The report further emphasizes the role of digital platforms and technology, noting that 68% of respondents regularly use automated savings tools, underscoring the growing impact of fintech on the financial habits of India's younger generation.


Key insights from the report include:


Consistent Savings Practices:

A remarkable 93% of respondents identify as consistent savers, with the majority setting aside 20-30% of their monthly income for future financial goals. This reflects a growing culture of financial discipline, especially in the 22-25 age group, as young adults start their financial journey.


Investment Preferences:

58% of young Indian investors currently invest in stocks, while 39% favor mutual funds. Safer options like fixed deposits (22%) and recurring deposits (26%) see relatively lower adoption. This indicates a balanced approach between high returns and stable savings among the youth.

72% of 18-21-year-olds prefer stocks over other options like Fixed Deposits, Mutual Funds and Gold.

With 62%, YouTube is a primary source of education for savings and financial planning among those surveyed. Family and friends remain the secondary source of financial education for 52% of youth, surpassing popular finance influencers.


Barriers to Savings:

Despite disciplined saving habits, 85% of young Indians cite the high cost of living—particularly food, utilities and transportation—as the most significant barrier to saving. This indicates rising living costs are a critical challenge for India’s youth.

 

Technology:

68% of respondents use automated savings features and mobile apps to manage their finances.


Financial Literacy:

71% of respondents consider themselves proficient in financial literacy.

 

“As India’s youth increasingly turn to the internet for financial guidance, we are witnessing a growing appetite for financial awareness and education among Millennials and Gen Z. YouTube has become central to this shift, with over 62% of young investors relying on it as a primary source of financial learning. In today’s digital age, with rising cyber threats and evolving financial landscapes, it is more important than ever for young adults to build a strong foundation in financial literacy. Saving and investing are not only essential life skills but also key opportunities for long-term wealth creation. At Fin One, we are committed to empowering India’s younger generation with the knowledge and tools they need to make informed financial decisions and secure their financial future.” added Paarth Dhar, Vice President, Angel One.


This survey reaffirms the growing importance of financial literacy, disciplined saving and the use of technology among India’s young population. Angel One remains committed to driving financial empowerment in India through its innovative solutions and educational initiatives.


Fin One, an initiative by Angel One, focuses on enhancing financial awareness in India, especially among youth and rural communities. It delivers educational content in regional languages and promotes responsible financial practices. Fin One aims to foster financial inclusion and awareness across the nation. This initiative is not just about imparting knowledge; it's about shaping a financially savvy generation poised to navigate the complexities of the modern financial world with confidence.


Angel One Limited, (NSE: ANGELONE, BSE: 543235) is the largest listed retail stock broking house in India, in terms of active clients on NSE. Angel One is a technology-led financial services company, providing broking and advisory services, margin funding and distribution of third-party financial products to its clients. The broking and allied services are offered through online and digital platforms to clients acquired directly and through assisted business.

A Customizable Eyewear Collection for Kids, Designed for Comfort and Myopia Control

Customizable eyewear collection for kids

Lenskart introduces Hooper Creatr, a new collection that allows kids to express their creativity and style through fully customizable eyewear. Designed specifically for young adventurers, Hooper Creatr transforms wearing glasses into a fun and personalized experience, turning eyewear from a necessity into a canvas for self-expression.

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Hooper Creatr offers fully customizable frames, allowing kids the freedom to choose every detail—from adjustable temple tips to changeable nose pads and unbreakable Flexi hinges—ensuring both comfort and durability for active children. The soft, cushioned nose pads provide a snug, mark-free fit for all-day wear, making the frames both practical and fun.

What makes the collection truly unique is its thoughtful design, which goes beyond aesthetics to support vision health. As myopia in children becomes an increasing concern, these frames are specifically designed to accommodate myopia-control lenses, ensuring that kids’ eye health is a priority without compromising on style. The correct adjustment of the temples and nose pads plays a crucial role in managing myopia over time, making Hooper Creatr a blend of fashion, function, and long-term eye care.

Available in a variety of shapes, including rectangles, rounds, and geometric designs, and crafted in both plastic and metal fronts, Hooper Creatr offers options for every child’s unique personality and fit.

Peyush Bansal, Founder &CEO of Lenskart, shared his personal connection to the project:

“As a parent, I know how important it is to make eyewear both practical and enjoyable for kids. Hooper Creatr is a project very close to my heart because it’s not just about vision correction—it’s about giving children the opportunity to express themselves through their glasses. We’ve designed Hooper Creatr to grow with kids, ensuring that their frames are not only comfortable today but also supportive of their eye health in the long run as they manage myopia.”

Hooper Creatr is now available across all Lenskart stores in India and online via the Lenskart website.

Established in 2010, Lenskart is a tech-enabled startup that has emerged as India's premier eyewear brand. In just thirteen years, the brand has transformed the eyewear landscape in India with its unique blend of high fashion, value-driven offerings, and an omni-channel business approach. Lenskart currently distributes over 10 million eyewear pairs annually, with an impressive 40 million app downloads. The brand's expansive network encompasses approximately 500 home eye test representatives and 2,000 brick-and-mortar stores spanning India, Singapore, Japan, Thailand, Taiwan, and the Middle East. Renowned for its facial-analysis-driven eyewear recommendations and unparalleled omni-channel customer experience, Lenskart leverages its vertically integrated supply chain technology to deliver quality, fashionable eyewear at highly competitive prices. Achieving an astonishing 60%+ year-on-year growth in 2023, Lenskart is poised for a further expansion of over 50% in 2024.

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Dakshayani, a 4-year-old student shines in NASA’s Space Place Art Challenge

Dakshayani a 4 year old student

4-year-old Preschooler’s Artwork Inspired by ASTHROS Mission to Antarctica


Dakshayani, a 4-year-old student from the Footprints preschool and daycare chain and provider of early education and childcare services recently participated in NASA's Space Place Art Challenge for August 2024, where she created a captivating painting inspired by the ASTHROS team’s upcoming journey to Antarctica. The ASTHROS team plans to launch a high-altitude balloon equipped with a telescope to study cosmic phenomena, igniting the imaginations of young minds around the world.


In her artwork, Dakshayani brilliantly illustrated the essence of space exploration, blending the mysteries of the cosmos with her unique interpretation of the hot air balloon that will carry ASTHROS's telescope into the stratosphere. Her participation underscores Footprints' commitment to encouraging a nurturing and enriching environment where children can explore, create, and dream big.



Raj Singhal, Co-founder & CEO of Footprints, expressed his pride, saying, "At Footprints, we believe in nurturing curiosity and encouraging young children to think beyond boundaries. Dakshayani’s achievement is a testament to children's creativity and enthusiasm when given the right support and inspiration. Her artwork reflects her love for art and her understanding of space, which we are immensely proud to support."


NASA’s Space Place Art Challenge encourages young artists to engage with space science by submitting original artwork based on a monthly theme inspired by real-world space missions and phenomena. Designed to fuel curiosity and creativity, this interactive challenge invites children to explore the wonders of the cosmos through artistic expression, making complex concepts like space missions, asteroids, and distant galaxies more accessible and exciting for young minds. 


Footprints is a distinguished preschool and daycare chain founded and operated by alumni from prestigious institutions like IIT and IIM. It is dedicated to providing high-quality early education and childcare services. With a deep understanding of the challenges faced by parents in balancing their busy lives with active participation in their child's growth journey, Footprints integrates advanced technology through the Footprints ParentConnect App and is loved by more than 39000 parents. 



New Perspectives on Couples' preferences in - How India Travels for Honeymoon’ Report


Thailand surpasses Maldives as the top international honeymoon destination; Indonesia, Mauritius, and Vietnam also gain share

Japan, Scandinavia and the US top the list for long-haul international honeymoon packages that have seen maximum growth in bookings

The Andamans overtake Kerala to claim the top spot for domestic honeymoons; Kashmir rises to third place; Goa and Himachal Pradesh complete the top five



A honeymoon is unlike any other travel experience — it marks a couple’s first trip together as newlyweds, making it a deeply personal and memorable milestone. Newlyweds don’t just seek a vacation; they want to create unique, meaningful experiences that will create lasting memories. Whether relaxing on exotic beaches or exploring serene hill stations, Indian honeymooners' preferences are as diverse as the regions they come from.

But where exactly are Indian couples headed for their honeymoons, and what are the experiences they are seeking? MakeMyTrip’s latest report, ‘How India Travels for Honeymoon’, analyses booking data from October 2023 to September 2024, compared to the same period in the preceding year, offering interesting insights into the evolving travel preferences, trends, and behaviours of couples embarking on this special journey.

Rajesh Magow, Co-founder and Group CEO of MakeMyTrip, said “As the wedding season in India approaches, the spotlight turns to honeymoon travel—where couples look to craft a truly special, once-in-a-lifetime experience. For the first time, we are sharing unique insights into the distinct booking patterns that set honeymoon travel apart from leisure trips. Our aim is to provide a deeper understanding that will allow us—and the broader travel and wedding ecosystem—to create experiences that are not only romantic and memorable but also aligned with the evolving preferences of today's honeymooners. As couples increasingly seek personalized experiences, luxury, and unexplored destinations, we remain dedicated to delivering a variety of choices and travel planning experience for honeymooners.”



Beach Destinations Reign Supreme for Honeymooners

On the international front, Thailand tops the list of favourite honeymoon destinations for Indian couples, recording the highest share of honeymoon package bookings in 2023-24 on MakeMyTrip. Thailand increased its booking share by an impressive 5.2% year-on-year (YoY), surpassing Maldives, which led the rankings last year. Maldives saw a 16.2% YoY decline in honeymoon package bookings while all other top five international destinations – Indonesia, Mauritius, and Vietnam – gained share this year.

On the domestic front, the Andamans replaced Kerala as the most booked honeymoon destination, increasing its share of honeymoon package bookings by 6.9% YoY. Kashmir, which gained 3.6% in bookings, moved to third place. The number of bookings for Goa remained the same as last year while Himachal Pradesh saw a decline of 4% in honeymoon package bookings. The North-East, Uttarakhand and Maharashtra also drew attention from Indian couples seeking domestic honeymoon destinations.

Indian Couples Travelling Far and Wide to Make Their First Trip Together Special

There is an increasing appeal for new and diverse destinations among Indian honeymooners. While international destinations such as Bhutan, Azerbaijan, Malaysia, Sri Lanka, and Seychelles have seen a significant YoY growth in honeymoon package bookings, this trend was not just limited to short haul destinations. Long-haul destinations also featured prominently in the honeymoon travel plans of Indian couples. Easy visa destination Japan witnessed the highest YoY growth of 388% in honeymoon package bookings. Other long-haul destinations that have seen maximum growth for honeymoon package bookings include Scandinavia, the United States, South Africa, and Australia and New Zealand.

Honeymooners increasingly opt for Longer, Luxurious and Multi-City Adventures

Couples are willing to spend extra for luxury and indulgence during their honeymoon. The average spending per couple has increased by 13% YoY. Notably, 68% of newlyweds chose 4-star or 5-star properties for their stay. 1 in every 5 honeymoon package bookings were for a 5-star property between 2023-24, reflecting a 10% YoY growth.

There is also a growing trend of couples exploring multiple destinations within the same trip. On the domestic front, the share of couples visiting four or more cities increased from 35% in 2022-23 to 39% in 2023-24. Internationally, while more than half of honeymooners still prefer single-city itineraries, the share of couples opting for two or more cities rose from 32% to 47%.

In terms of travel duration, 78% of domestic honeymooners booked packages for up to 5 days in 2023-24, in line with the booking trends for the previous year. However, for international travellers, the percentage of couples booking a honeymoon package of more than 5 days increased from 34% in 2022-23 to 42% in 2023-24, reflecting a trend toward longer honeymoons. This shift also aligns with the increase in preference among couples to travel to multiple cities.

Premium Honeymoon Packages Soar

Metro cities like Delhi, Mumbai, and Bangalore are driving the demand for premium honeymoon packages, contributing to more than two-thirds of all honeymoon package bookings. However, cities such as Hyderabad, Kolkata, Chennai, Ahmedabad, and Pune are also seeing a notable shift from budget to premium travel.


Curated Romantic Honeymoon Experiences Drive Demand

The demand for personalized, romantic experiences is stronger than ever. Honeymoon package bookings have grown by 25% YoY, pointing towards a trend of couples wanting an end-to-end curated experience. More than 95% of honeymoon package bookings this year included curated experiences/activities. As a result, MakeMyTrip saw a 56% growth in bookings of premium romantic activities such as couples' photoshoots, romantic dining, cruises (sunset/dinner/catamaran), couples' spa sessions, and floating breakfasts.

Last-Minute Bookings Still Common Among Honeymooners

Indian couples booked their honeymoons closer to their departure dates, with 56% of domestic packages and 38% of international packages being booked within 30 days of travel. This pattern is in line with the overall travel behaviour of Indian travellers, who tend to book closer to the departure date. Interestingly, 31% of international honeymooners booked more than two months in advance, compared to 18% for domestic trips.

MakeMyTrip’s latest report offers a comprehensive view of honeymoon travel trends in India. As couples continue to prioritize luxury, personalized experiences, and explore new destinations, MakeMyTrip remains committed to curating packages that cater to every couple’s dream getaway.