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Author: Ojasw Tyagi

  • Indemnity: What It Means in Insurance and the Law

    Indemnity: What It Means in Insurance and the Law

    Have you ever looked at the word “indemnity” in a contract or in an insurance policy and thought: What’s really behind this?” Indemnity is more than a legal concept – it is also a fundamental basis of financial protection, whether in law or contract.

    This guide will do things like help take “indemnity” out of the mystery black box and explain “what it means in insurance and the law”, get to its “core principles”, show you how it actually “works in the wild” and explain why it’s important for fair dealings and being able to sleep at night without waking up in a cold sweat thinking someone has taken out a second mortgage on your dog.

    1. What Is Indemnity: The Fundamental of Making Whole

    Restoring to the Original Position: The Essence of Indemnity

    Core Meaning:

    In general insurance terminology, indemnity (from Latin ‘indmenis’, meaning ‘unhurt’, ‘uninjured’ or ‘damage’) is an agreement whereby a party (indemnitor) promises to compensate for the loss or harm sustained by another party (indemnitee).

    The “Making Whole” Principle:

    Recover should place the indemnitee (the party who is indemnified) in the same economic position as before the loss or damage and may neither enrich nor impoverish the indemnitee.

    Distinction from Guarantee:

    A guarantee is for the purpose of assuring the performance of a third party, whereas indemnity relates to making good a loss.

    2. The Indemnity Principle in Insurance – The Basis of Cover

    The Role of Indemnity in Insurance Policies

    Core Principle: Indemnity is based on the principle that an insurance contract is signed to indemnify (pay back or make whole) the insured in the event of the loss. The insured can receive only the actual amount of the loss.

    How It Works in Insurance:

    Indemnity: What It Means in Insurance and the Law
    • Indemnity for proven loss: An insurer is liable to cover only the actual documented financial loss sustained by the named insured up to the limit of the policy.
    • Insurable interest: The insured typically must directly suffer from the loss. And for adverse news, it must be ascertained if the insured actually has a commerce that will be affected by the loss (may even have changed). No “dual-instraints”, meaning this: the insurer should be unable to put themselves in a position to profit from loss. And this should also deter what is termed “moral hazard” – deliberately causing loss (or otherwise) to get a payoff.
    • Subrogation: Condition by which an insurer who has taken over another’s loss also has the right to legally pursue a remedy from a third party who may be responsible for the loss. This is to prevent the insured from receiving double indemnity and to allow the insurer to recover any payment made.
    • Contribution: When the same risk is covered by different insurance companies, each insurer contributes in proportion to the amount insured, and all the insured amounts will be prevented from exceeding the actual loss.

    Key Considerations in Insurance Indemnity:

    • Insurable Interest: The insured needs to be financially involved with the thing that is being insured.
    • Actual Cash Value (ACV) vs. Replacement Cost (RC): ACV is the cost minus depreciation, whereas RC is the new replacement cost, and both are based on the indemnity principle.
    • Deductibles/Excess: These are meant to make sure the policyholder suffers a portion of the loss in line with the principle.

    Indian Insurance Scenario: Concepts of indemnity and subrogation form an integral part of Indian insurance law and practice, and there is no ambiguity in the insurance law with regard to the principles of fairness to form the basis of claims settlement being laid down under the insurance acts. For details on the principle of indemnity in Indian insurance, refer to this legal overview by iPleaders.

    3. Indemnity at Law: A Wider Legal Remedy

    Outtake: Indemnity Provisions in Contracts & Legal Duties that Can’t Be Covered by Insurance

    Contractual Indemnity:

    Definition: A contract provision in which one party (usually person) agrees to assume a product’s future liability What It Means: A (contractual) provision under which one party (the indemnifying party) agrees to take on certain liabilities of the other party (the indemnified party) under particular circumstances.

    Common Uses:

    • Service Contracts: A vendor may indemnify a customer for any claims resulting from their own negligence.
    • Construction Contracts: A contractor may agree to indemnify the owner for a slip and fall on-site.
    • Mergers & Acquisitions: A seller could indemnify the buyer against unidentified liabilities.
    • Intellectual Property: A licensee could be indemnified by a licensor for patent infringement.

    Importance: Indemnity clauses allocate risk between parties, promote legal certainty, and may limit exposure.

    Statutory/Implied Indemnity:

    • Definition: Indemnity that is paid by law, even if there is no express contractual provision.
    • Illustrations: Indemnity of an agent acting within the scope of his authority or contribution between joint tort-feasors (persons jointly responsible for a wrong).
    • Indian Legal Perspective: In Indian law, the term “contract of indemnity” has specifically been defined under Section 124 of the Indian Contract Act, 1872, showing the importance of the concept in the Indian legal system.

    4. INDEMNITY RESTRICTIONS AND COMPLEXITIES

    When Indemnity Isn’t Absolute

    1. Policy Limits / Caps: In insurance, compensation will never exceed the sum insured or the policy limits. In contracts, there may be agreed-upon caps on liability.
    2. Exclusions: There are certain exclusions in insurance policies (i.e., willful misconduct, war) for which there will be no indemnity. Contractual indemnity provisions are also circumscribed.
    3. Fraud / Illegal Acts: Losses due to the indemnitee’s own fraud or illegal acts are typically not covered by indemnity.
    4. Duty to Mitigate: The indemnitee is under a duty to mitigate its loss even when it anticipates being indemnified.
    5. “All or Nothing” vs. Proportional: An indemnity could be triggered only for certain claims or share losses in proportions.
    6. Interpretation issues: The exact language used in indemnity clauses can cause confusion and become a source of legal battles, so draughting is key.

    Conclusion

    In conclusion, indemnity is an important principle that we certainly will understand and can use to do the following: be fair to those injured place the risk with the appropriate party, and offer financial protection that is essential.

    It performs an “insurance” role by breaking the link between loss and profit so that insurers can subrogate, and it is widely used “in law” through contracts and statutes. Indemnity is so much more than a word—it is a critical concept that serves as the power behind equity and is a critical component of addressing and assigning the risk and important financial protection.

    By comprehending its intricacies, people and businesses are able to take better control of risks, protect their assets, and do business with more confidence in an uncertain world.

    Call to Action

    Check your insurance and legal coverage for indemnity clauses, and get professional help if necessary to ensure you are covered.

    Frequently Asked Questions

    1. Is indemnity identical with compensation?

    They’re related, though not exactly the same. Compensation Compensation is a term that refers to payment for loss or injury.

    Indemnities refer to making an injured party whole by restoring them to the financial condition they were in prior to the loss (no more, no less). Indemnity is compensation, but it also makes one whole again.

    2. I can gain from an insurance claim due to the principle of indemnity?

    No. Insurance’s principle of indemnity operates to ensure that you do not make a profit from a loss.

    The insurer will pay you only to the extent of the financial loss you actually sustained, up to the limits of your policy: you are to be “made whole”, not better off than you were to begin with.

    3. | What does the term “indemnity clause” mean in a contract?

    An indemnity clause is a clause in a contract in which one party agrees to secure the other against the potential loss or damage that may be incurred in the future due to the user’s behaviour.

    It’s employed to shift risk from one party to another, and it delineates who pays for certain types of claims or liabilities in a business agreement.

  • Reinsurance Definition, Types, and How It Works

    Reinsurance Definition, Types, and How It Works

    When you purchase insurance coverage – for a car, for your home, for your health – you’re buying it directly from an insurance company. But you might have wondered how such companies deal with the extraordinary risks they bear, especially following catastrophes.

    The answer lies in “Reinsurance”. This complete reinsurance guide will help clear the fog surrounding “reinsurance”, giving you a straight “definition” and explaining the different “types” and detailing exactly “how it works”. We used it to balance the worldwide insurance system, safeguarding an insurance company and, ultimately, the policyholder.

    What is reinsurance?

    The Risk Management Foundation of Risk Management for Insurers

    Reinsurance is essentially “insurance for insurance companies”. It’s a process in which an insurance company (the “ceding company” or “cedent”) cedes some of its risks to another insurer (the “reinsurer”).

    Purpose:

    • Risk mitigation: Primary insurers can get protection from large or catastrophic losses.
    • Capital Management: Releases capital for primary writers, enabling them to write more business.
    • Stabilization: Assumes that insurers could go bankrupt from unexpected big claims and makes sure that they have the money to pay their policyholders.
    • Specialist domains: Reinsurers frequently bring expertise in specialist or complex risks.

    Analogy: Consider it a financial shock absorber for the insurance sector.

    Key Players: Reinsurer, Ceding company/Cedent, Policyholder.

    2. Different Types of Reinsurance: Structuring the Risk Transfer

    Facultative vs. Treaty Reinsurance (The Transaction Basis)

    Facultative Reinsurance:

    • Definition: Reinsurance for particular individual risks or certificates, established on a case-by-case basis.
    • Use: With ABN For non-standard, hazardous or Ansqqbn risks not covered by the treaty.
    • Benefit: Provides the ceding company with flexibility and the reinsurer the ability to pick and choose risks.

    Treaty Reinsurance:

    • Definition: An arrangement which applies to an agreed portfolio of risks (e.g., all motor business written during a certain period) for a defined period rather than to individual policies.
    • When to Use: Continuous, periodic transfer for many policies.
    • Advantage: Ensures automatic cover and administrative convenience for both.
    • Reinsurance that is Proportionate and those that aren’t (The Payment Basis)

    Proportional vs. Non-Proportional Reinsurance (The Payment Basis)

    Proportional Reinsurance:

    The reinsurer cedes a prorated percentage of the premiums and losses incurred by the ceding company.

    Types:

    • Quota Share: The reinsurer receives (pays) a fixed point percentage of each and every policy (premiums (losses).
    • Surplus Share: A share of a policy above the ceding company’s retention limit, which is taken by the reinsurer.
    • Benefit: Simple, consistent risk sharing.

    Non-Proportional Reinsurance:

    The reinsurer pays only to the extent that losses exceed a specified level for the ceding company known as a “retention” or a “priority”. Proportional sharing of premiums – the reinsurer does not share premiums.

    Types:

    • Excess of Loss (XoL): Purely the most common. Reinsurers will pay losses that exceed a certain dollar amount, up to a limit.
    • Example: The ceding company retains the first 5M above that.
    • Stop-Loss: The reinsurer is only responsible for paying when the accumulative loss ratio in a portfolio reaches a specific percentage or limit.
    • Benefit: Insulates the ceding company against potential unanticipated highlosses, ,including natural and man-made disasters.

    3. How Reinsurance Functions: The Risk Transfer Lifecycle

    Reinsurance Definition, Types, and How It Works
    • Covered: How the Mechanics of Reinsurance Could Affect Climate Goals
    • Policy Issuance: A policyholder who has a risk is issued a policy by a primary insurer of the risk.
    • Risk Assessment & Ceding: The ceding company evaluates its risk. Then reinsurance kicks in: If the risk is too great or too far outside this comfort zone, the company elects to cede part of it to a reinsurer.
    • Reinsurance Agreement:
    • Facultative: The insurer approaches the reinsurer for obtaining reinsurance cover for a particular risk and negotiates terms, premium, and a share of risk.
    • Treaty: A portfolio of risk is using an already negotiated contract to dictate how the risk is shared.
    • Premium: The ceding company incurs a reinsurance premium to the reinsurer based on the portion of the risk that it transfers.
    • Loss Event: The policyholder experiences a covered loss and the underlying insurer pays the claim.
    • Reinsurance Recovery: An insurer gets indemnity from the reinsurer whenever a loss is above the ceding company’s retention (in the case of non-proportional) or the loss is within the shared proportion (for proportional).
    • Payout: The reinsurer would then pay the agreed share of the loss to the ceding company. Thanks to this backend transaction, the policyholder is not impacted.
    • Regulatory: Regulators (such as IRDAI in the Indian context and international regulators) supervise the reinsurance industry to avoid insolvency and ensure fair practices.

    4. The Broader Impact: Benefits of Reinsurance for All

    More Than Insurers: How Reinsurance and Its Modest Profit Helps the Economy and Consumers

    For Primary Insurers:

    • Increased ability to underwrite additional policies.
    • Improved solvency and financial stability.
    • Reduced volatility in earnings.
    • Access to specialists in difficult risks.

    For Policyholders:

    • wider accessibility of covers for big or difficult risks.
    • More security and assurance that damage would be paid, even after a major disaster.
    • Possibly lower premiums (indirectly, as reinsurers stabilize the market and lower the primary insurer’s cost of capital).

    For the Economy:

    • It facilitates economic development by allowing firms to share risks.
    • Enables mega projects (eg infrastructure) with a high volume of insurance being underwritten.
    • Financial markets stabilize as catastrophic risk is spread globally.

    You can find more benefits of reinsurance for both insurers and the broader economy in this article from OneAssure.

    Conclusion

    In essence, reinsurance is the vital “insurance for insurers” that enables insurers to manage risk efficiently. We discussed its “types” (to be facultative or treaty, proportional or non-proportional) and its basic “how it works” mechanism.

    Frequently invisible to the general consumer, reinsurance is the cornerstone of the worldwide insurance industry, allowing it to assume massive risks and to deliver the crucial financial protection that is integral to people, companies and economies around the world. It is the one protecting us when nobody is looking – when the unthinkable occurs and claims are paid.

    Call to Action

    Understand all the complex layers of coverage in your own insurers. Knowledge of reinsurance can make you more informed of how the world of insurance works and the protections that are out there to provide security for your money.

    Frequently Asked Questions

    1. How does reinsurance affect my individual insurance coverage or claims?

    No, not directly. Your contract is always with your original insurance company. Reinsurance is a backdoor arrangement between insurers.

    You make claims against those underlying layers of insurance, and those layers’ ability to pay is enhanced by their own arrangements to purchase reinsurance.

    2. What distinguishes an insurance company from a reinsurance company?

    An insurance firm extracts premiums directly from consumers or companies seeking to insure themselves, taking on that risk.

    A reinsurance company transacts business with other insurance companies, the effect being to cede a certain part of its aggregate risks.

    3. Why would an insurer require reinsurance? Why not just keep all the premiums?

    If they keep 100 per cent of premiums, they also have to absorb 100 per cent of losses. They reinsure in order to be able to transfer very large or catastrophic-type risks that could lead to their insolvency (e.g., a huge earthquake, a large industrial accident).

    It allows them to write more risk and stay safe and financially solvent, offering critical capacity to the market.

    4. Is reinsurance regulated?

    Yes, reinsurance is very regulated, just perhaps not by the same entities as primary insurance. Reinsurers (IRDAI in India, NAIC in the US, PRA in the UK, etc.) are also regulated to be financially sound, to have enough capital to pay claims and to treat customers fairly because they are the bedrock on which the financial support is underwritten to the customers.

    5. What are the biggest reinsurance companies in the world?

    The biggest and best-known reinsurers globally will include Munich Re, Swiss Re, Hannover Re, SCOR and Berkshire Hathaway Reinsurance Group, some of the largest by premium receipts and size of risk they reinsure.

    These businesses are carried out internationally, assuming risks from insurers in disparate continents.

  • Worldwide Risk Landscape on July 8, 2025: From Geopolitical Tariffs to Disaster Preparedness and Audit Readiness

    Worldwide Risk Landscape on July 8, 2025: From Geopolitical Tariffs to Disaster Preparedness and Audit Readiness

    Worldwide Risk Landscape on July 8, 2025, is characterized by an ever-changing matrix of economic, environmental, and regulatory pressures. Highlights include rising tariff disputes, the necessity of improved disaster response and the ongoing development of audit readiness for small businesses.

    This complex web of threats requires cities and nations to act preemptively to equip themselves with resilience in an ever more uncertain world.

    Geopolitical Tariffs: A New Economic Front

    July 8, 2025 – U.S. President Donald Trump today revealed new 25% import tariffs on Japan and South Korea effective Aug. 1 – if new trade deals are not reached. It comes after a 90-day hiatus on tariffs. It is part of a broader US trade policy announced in September 2025 targeting 14 countries and covering products ranging from 25% to 40%, in a bid to address what the US sees as trade imbalances.

    The announcement has sent immediate ripples through global markets and diplomatic circles, accelerating hands on both Asian allies and US officials to step up negotiations in the days ahead. This new economic front adds another layer of complexity to the global risk landscape, which has the potential to disrupt global supply chains, weigh on investment decisions, and prompt retaliatory measures that further splinter the world’s commerce.

    Disaster Planning As The New Climate Imperative

    Outside the realm of trade, the global risk landscape is increasingly influenced by climate change, rendering disaster preparedness more essential than ever. The natural disasters increase without a pause, more and more frequent and severe ones, bringing a serious threat to the infrastructure, economy and human life.

    Global losses of more than $200 billion were suffered in 2024, reveals recent data. Projections indicate that in 2030 alone, the world will experience some 560 disaster events, meaning a little over 1.5 moderate-to-large disasters per day. Echoing this urgent call, the World Resilient Recovery Conference (WRRC), which took place in Geneva in early June 2025, released its Ten Priority Investments to Ensure Preparedness for Resilient Recovery.

    These actions are intended to bolster resilient recovery and enhance local community leadership in the face of climate-related events, underlining the importance of effective disaster preparedness in addressing more extreme weather and future global resilience. Details on the Ten Priority Investments can be found on ReliefWeb.

    Audit Readiness: Navigating Evolving Compliance

    Audit readiness is no longer only about technology, but it’s also about the changing environment and shifting regulations for businesses. One major trend is the increasing use of Artificial Intelligence (AI) in auditing; AI streamlines the process of analysing large data sets, helps identify risks, and detects abnormalities, making the audit process more efficient and accurate.

    This, in turn, requires companies to keep their data clean and available for audits driven by AI. Regulation is also becoming much stricter. The EU’s NIS2 Directive and DORA and operational resilience in 2025 The EU’s NIS2 Directive, designed to boost the cybersecurity of crucial sectors, and DORA, which stands for Digital Operational Resilience Act.

    Which has been applied as of 17th January 2025 exclusively for the financial sector, are introducing strict requirements regarding the management of ICT risks and incidents. In addition, the growing significance of ESG (Environmental, Social and Governance) compliance management systems in 2025, especially in Europe, requires extensive reporting and internal control.

    This challenge is only made more difficult by a growing risk environment on the cybersecurity front because the surge in ransomware and supply chain attacks obviously requires strong internal controls for audit considerations.

    The Interconnected Risk Matrix: Building Proactive Strategies

    These separate risks are deeply interconnected. When we have geopolitical tension, like the tariffs we just said, and then we go directly to a globally intertwined supply chain, that global supply chain is more subject to the vagaries of natural disasters.

    At the same time, the requirement for IT security and operating robustness to satisfy emerging audit and compliance requirements is simply escalated by these intricate interconnections. Thus, the construction of comprehensive risk management mechanisms that foresee and respond to such complex intractable threats is a key priority.

    To withstand volatility, multinational companies should be proactive in their approaches. Driving international collaboration and technology adoption for resilience and robust compliance are key to long-term corporate resilience and global well-being in the global risk landscape of 2025 and beyond.

  • Global Personal Finance Navigates Inflation, BNPL Trends, and Stable Savings on July 8, 2025

    Global Personal Finance Navigates Inflation, BNPL Trends, and Stable Savings on July 8, 2025

    As of today, July 8, 2025, people face an increasingly convoluted personal finance story, as global personal finance navigates inflation that refuses to go back to normal anywhere around the world; Buy Now, Pay Later (BNPL) takes off at a blistering rate of speed; and stockpiles of savings continue to fight against economic shifting.

    Together, these ingredients are altering how households manage their budgets, spend and plan for the future. In this article we will give insight into how consumers are adjusting and offer advice from financial professionals on staying financially healthy.

    Exorbitant Inflation on Household Budgets

    The inflation picture as it stands today is still a significant drain on personal wallets. Headline inflation remained elevated above pre-pandemic levels in many economies, at least to date, with the OECD’s most recent data available as of July 3rd, 2025, showing 4.0% in May 2025.

    In other words, the cost of living is still climbing; it’s just doing so at a slower pace than during periods of peak inflation. The direct effect on personal finance is obvious: reduced purchasing power, higher everyday expenses as items like food, fuel and utility bills rise, and a squeeze on discretionary spending.

    This is especially challenging for savers. While nominal savings may be accumulating, their real value after adjusting for inflation is being eroded, keeping one of life’s quests — that of stable, inflation-beating savings — as an uphill journey for households the world over.

    Convenience, popularity, and growing concerns about BNPL

    The popularity of Buy Now, Pay Later (BNPL) continues to skyrocket, with the value of global BNPL payments forecasted to hit US$39.79 billion in 2025 – year-on-year growth is striking. The attraction of the option is the freedom it offers and the illusion of no-interest payments, especially to younger demographics such as Millennials and Gen Z, who are used to working with it for online sales.

    But there is a downside to this convenience. A majority of users regret BNPL – in a recent survey a good 40% of Americans regret after they comprehend the total costs. What’s more, late payments are increasing, with 41% of users of BNPL services reported making a late payment in the last 12 months versus 34% a year ago.

    The downsides to such services include racking up multiple BNPL debts, losing track of payments (almost one-third of users say as much) and the threat to credit scores from missing instalment payments. More statistics on BNPL usage and concerns can be found in the Motley Fool’s 2025 Buy Now, Pay Later Trends Study.

    Developing Financial Resilience: Astute Savings in a Changing Environment

    Finding ways to handle this effectively calls for some smart and practical savings plans. Firstly, people should focus on finding savings accounts with competitive interest rates that can outpace inflation. In India, RBI’s Floating Rate Savings Bonds are still going strong at 8.05% returns for the July-December 2025 period, which stands to trump many conventional bank fixed deposits and give a government-backed, less-risky option for conservative investors.

    Second, the ancient virtues of budgeting and expense tracking are just as important as ever. Knowing where the money’s going is how you start to find potential savings. Thirdly, prioritize debt. High-interest debts such as credit cards should be prioritised for aggressive repayment, and while BNPL payments are usually interest-free, they need to be responsibly managed to avoid late fees and an impact on credit scores.

    And ultimately, consider saving more broadly than money, focusing on longer-term goals, to provide more insulation against the disintegrating effects of inflation.

    Final word

    “The state of personal finance on July 8, 2025, is one heavily influenced by the persistent global inflation attack on household budgets, the two-faced BNPL phenomenon—a lurking convenience or debt risk.”

    In order to attain fiscal wellness in today’s economy, it is essential to actively manage personal finances, which has to do with smart savings plans, a vigilant budgeting system and being mindful of business practices. We would advise readers to check things should their circumstances be in any way complicated, as well as seek professional advice to protect their financial future.

  • Global Economic Outlook Dampened by Trade Protectionism on July 8, 2025; Central Banks Maintain Vigilance

    Global Economic Outlook Dampened by Trade Protectionism on July 8, 2025; Central Banks Maintain Vigilance

    As of its most recent readings, which were published, the Global Economic Outlook Dampened by Trade Protectionism on July 8 stresses the overall impact caused by the increased introduction of trade protectionist measures, so things are not going to get much better anytime soon.

    In this difficult environment, central banks around the world face the dilemma of having to be vigilant while trying to strike the right balance between supporting growth and controlling inflation in a time of greater uncertainty. The tug of war between these forces is charting a treacherous and uncertain course for the world economy.

    The Potential for Global Growth Is Threatened by Protectionism

    Trade protectionism in the form of tariffs, non-tariff barriers, and retaliation is resulting in a bleak global economic outlook. Almost all of the economic leading indicators have released updated projections recently, and they all agree there will be a negative effect on global trade volumes and GDP.

    If we take the World Bank, for example, they forecast global GDP growth to drop to 2.3% for 2025, a substantial revision downwards largely due to rising trade barriers and policy uncertainty. This has resulted in weakened corporate confidence, broken international supply chains and depressed investment.

    Enterprises are suffering from high costs and uncertain market availability, and that combination has quite naturally discouraged cross-border investments. The BIS emphasized that trade-related headwinds are strengthening established trends toward economic balkanization, intensifying a weakening of economic and productivity growth that has now lasted the better part of a decade.

    Central Banks Stay on Alert Despite Conflicting Pressures

    In such an environment, central banks are crucial and are “vigilant” or “closely watching” data and willing to act forcefully. They now face a twin challenge of a slowdown in growth, exacerbated by trade protectionism, that could also push them to ease monetary policy.

    On the other hand, persistent inflationary pressures, possibly exacerbated by trade barriers driving up import costs, prevent them from loosening policy too rapidly. The general theme is one of caution, however, and central banks are taking slightly different stances depending on their own domestic economies.

    Take, for example, the European Central Bank (ECB), which has acknowledged that while disinflation is in progress, the continued intensification of trade pressures complicates the inflation horizons, causing them to adopt a data-dependent approach to politics.

    The vigilance is important as to how trade-offs are balanced to support economic activity and ensure price stability; it can be a difficult one to make. For more on the ECB’s monetary policy and outlook, see the European Central Bank’s official statements and publications.

    Navigating the Delicate Balance: Growth, Inflation, and Policy Uncertainty

    Keeping vigil for central banks, or so it is frequently the case, entails walking a tightrope. Should global growth continue to decelerate because of trade protectionism being sustained, the chorus calling for rate cuts will grow louder.

    Yet if inflation proves more persistent or speeds back up again via supply shocks caused by trade disruptions or higher import prices, rate hikes could still be in play. The uncertainties created by trade protectionism are very challenging when taking such decisions, with little firm ground upon which to base economic projections and policy decisions.

    This uncertainty also applies to financial markets and consumer spending, making the calculus even more complicated. Businesses are reluctant to make job-creating investments, while consumers may put off big purchases, dragging on economic momentum.

    Even more than in the Vietnam era, central banks need to understand the changing landscape and ways in which trade policy affects import prices and overall demand to better achieve their mandates.

    Outlook remains cautious, policy cooperation crucial

    So long as trade protectionism is still on the table, the short-term global economic picture is going to look dim. Meanwhile, international financial companies are also cautious, as risks on the downside are high.

    International cooperation is the key means to solve trade rows. Returning to more market-orientated policies, including encouragement of private investment, could have a substantial positive effect on the economic environment by repairing confidence, supply chains and capital appreciation.

    Central banks are here to stay, adjusting their monetary policy as new data comes in, striving for price stability as well a sustainable growth. It will take their alert and data-oriented approach to navigate economies through such uncertain times, but also global policy cooperation for more resilient market insights and economic outlooks in the future.

  • Global Growth Slowdown Confirmed by World Bank and OECD; Trade Barriers Impact Investment Flows on July 8, 2025

    Global Growth Slowdown Confirmed by World Bank and OECD; Trade Barriers Impact Investment Flows on July 8, 2025

    In their most recent reports, which were released today, the Global Growth Slowdown Confirmed by World Bank and OECD; Trade Barriers Impact Investment Flows on July 8, 2025, concur that there has been a significant drop in global growth.

    This slowing is directly tied to the deleterious spread of rising trade barriers and their knock-on impact on world investment. The news draws attention to an economic uncertainty on the horizon for companies and countries struggling to navigate a more splintered world order.

    The World Bank’s grim forecast indicates a clear slowdown through 2025.

    The World Bank published its latest report on the global economy, the Global Economic Prospects, and the general narrative remains a pessimistic one: The institution has just cut its outlook for global GDP growth to 2.3% in 2025, a significant reduction compared to previous expectations.

    That would be the weakest rate of non-recessionary growth in about two decades. The key factors highlighted by the World Bank primarily reflect the high contribution of increased trade tensions and policy uncertainty to the slowing of global growth.

    “The 0.9 per cent drop is the weakest performance since 2001, excluding global recessions,” Indermit Gill, chief economist of the World Bank Group, said at a press briefing.

    The World Bank also said that world growth projections have been downgraded in nearly 70% of economies, a comment that serves to emphasize the widespread slowdown and the vulnerability of the world recovery to trade barriers.

    The OECD Highlights the Growth-Stifling Effect of Trade Protectionism

    Reinforcing the World Bank’s view, the OECD’s recent Economic Outlook further attests to the global deceleration in growth. Especially striking in the OECD’s examination is the pernicious effect of widening trade barriers and protectionist measures in contributing to the slowdown. The organization now projects that global expansion will decelerate from 3.3 per cent in 2024 to 2.9 per cent in both 2025 and 2026.

    These actions are directly affecting business confidence, disturbing global supply chains and, importantly, redirecting or pausing committed investment. “Policy uncertainty today is holding back trade and investment, undermining consumer and business confidence and slowing the pace of global growth, according to the latest OECD Economic Outlook.

    There is a need for governments to discuss any concerns with the global trading system in a positive and constructive manner – keeping markets open and retaining the economic benefits of rules-based global trade for competition, innovation, productivity, investment and wealth growth,” it adds.

    Global Investment Flows Choke With Trade Tensions

    Both reports underscore how the kind of uncertainty introduced by trade frictions is having a chilling effect on investment, especially foreign direct investment (FDI). It was reported that companies are delaying their expansion and startup plans and thinking again about cross-border projects because of uncertain trade policies, increasing costs and possible market access losses.

    UNCTAD’s World Investment Report 2025 also revealed that global FDI has fallen by 11% in 2024, the second year of consecutive decline (UNCTAD, 2023b), confirming the deepening of the slowdown in the flow of productive capital. For the full World Bank “Global Economic Prospects” report, visit the World Bank’s official publications page.

    Lower investment also means slower job creation, less technological innovation and a weaker growth potential for the future ‐ all magnifying a global slump. The decline in global trade and the disintegration of the global value chains that began in the 2010s have led capital to become risk-averse – it is seeking domestic predictability over international contortions in the context of higher protectionism and geoeconomic provocations, from industrial plants to R&D centres.

    Outlook and Policy Imperatives

    Conditions are still difficult, with the institutions calling for quick and coordinated action. The message from the WB and the OECD is unequivocal; if the current trend of escalating trade restrictions and policy uncertainty continues, the world economy will enter a period of prolonged, anaemic expansion.

    The policy implications are clear, centring on the pressing need for unwinding trade frictions and building a more stable global economic environment which will revive investment flows and address the broader global growth deceleration. Multilateral initiatives are the key to returning to a stable and rules-based world trade system. The stability of the world economy depends on international cooperation to steer these choppy economic seas. Sources

  • How to Save Money for Your Big Financial Goals

    How to Save Money for Your Big Financial Goals

    Is owning a home, sending your kids to college, or travelling around the world on your bucket list? These “big financial goals” may feel intimidating, but with the right strategies, they’re totally within reach.

    This in-depth guide will help you to “How to Save Money for Your Big Financial Goals” successfully. We’ll unpack and refactor practical tactics, looking at the best tools and the most effective action steps in order to minimise the hurdles you encounter in your path to financial freedom.

    Section 1: The Basics: Knowing Your Objectives and How to Save Money for Your Big Financial Goals

    Step 1: Know Your “Why” – Having Clear Financial Goals

    Vague ends produce vague means. You need to get specific to reach those money dreams. Employ SMART goals: Specific, Measurable, Achievable, Relevant, and Time-bound.

    Actionable Advice:

    • Short-term (1-3 years): Save for an emergency fund, add to that rainy day fund, or take a holiday.
    • Mid-term (3 to 10 years): Save for a down payment on a home, buy a car, or pay for education.
    • Long-term (over 10 years): prepare for retirement, your child’s wedding, or leave a legacy.

    Example: Rather than declaring, “I want to save for a house,” say, “I want to save $20,000 for a down payment by June 2028.” Learn how to set SMART financial goals effectively from Fidelity.

    Step 2: Take a Look Around Your Financial Landscape

    It’s important to know where you are in the beginning. You can’t make a good plan if you don’t know what you’re dealing with.

    Actionable Advice:

    • Get a Handle on Income & Expenses: For a month, keep track of where your money really goes, using apps, spreadsheets or notebooks.
    • Figure Out Your Net Worth: Deduct what you owe from what you own to assess your overall financial condition.
    • Review Your Current Savings/Investments: See what’s working for you and what’s working against you.

    Section 2: Smart Saving Strategies: Get the Ball Rolling

    How to Save Money for Your Big Financial Goals

    1. Create an Effective Budget (and Stick to It)

    A budget is not a straightjacket; it is a tool to empower you and guide your money toward that which is most important to you.

    Actionable Advice:

    • Zero-Based Budgeting: Give every dollar a job.
    • 50/30/20 Rule: 50% should go toward needs, 30% for wants and 20% for savings or debt repayment.
    • Find ‘Money Leaks’: Think of little things you pay for every day — coffee, subscriptions you don’t use, impulse buys. The bottom line: You do have a choice: Scale back on the discretionary spending that doesn’t advance your goals.

    2. Automate Even Saving – “How to Pay Yourself First”!

    Remove willpower from the equation. Make saving automatic.

    Actionable Advice:

    • Establish a recurring transfer from your cheque account to your savings or investment or retirement accounts on payday.
    • Invest in mutual funds or counterparts whereinyou invest through SIP (Systematic Investment Plan) as per the availability in your country.
    • You may also want to consider RDs with your bank for certain objectives.

    3. Grow Your Income (Side Hustles & Upskilling)

    You can only cut so much. Earn more to save more.

    Actionable Advice:

    • Negotiate a Raise: Figure out what people in comparable positions are earning and show your manager why you deserve it.
    • Diversify Your Skills: Fortunately, upskilling is a common theme in the tech industry.
    • Get a Side Job: Think about freelancing, tutoring or online selling. A few dollars more per month can really add up in your savings.

    4. Manage Your Debt Well

    High-interest debt — credit card debt and personal loans — is contradictory to your savings goals.

    Actionable Advice:

    • Focus on High-Interest Debt: Attack it head-on using something like the debt snowball or avalanche.
    • Refinance Loans: Research how interest rates can be reduced on current loans.

    5. Motivate Saving through Gamification and Rewards

    Staying motivated is key. Approach saving as if you’re trying to beat a challenge or a game.

    Actionable Advice:

    • Savings Challenges: Attempt the 52-week challenge or establish no-spend days.
    • Picture Goals: Place pictures or reminders of your goals somewhere you can see them.
    • Incentive Milestones: Reward yourself for meeting smaller goals without risking setbacks.

    Section 3: Smart Tools and Where to Put Your Money

    Aligning Your Money With Your Goal’s Timeline

    For Short-Term Goals (1-3 years):

    • Instruments: A high-yielding bank savings account, bank FDs for assured returns, and short-term debt funds.
    • Why: Safety and liquidity are key; do not subject yourself to market fluctuations.

    For Mid-Term Goals (3-10 years):

    • Tools: Hybrid (balanced) mutual funds short- to medium-duration debt mutual funds ELSS (Equity Linked Saving Schemes) – Tax-saving Mutual funds (lock-in period – 3 years)
    • Why: To achieve growth with a comparative degree of risk.

    For Long-Term Goals (10+ years):

    • Tools that can be used: diversified equity mutual funds (large-cap, flexi-cap), index funds, National Pension System (NPS), Public Provident Fund (PPF) and direct equity (for experienced investors).
    • Why: To make the most of compounding; can tolerate market swings.

    Tax Considerations: Growing savings early with tax-advantaged investments (such as ELSS, NPS and PPF) can help in saving tax that way.

    Section 4: Conquering Typical Savings Obstacles

    Staying on Track When Things Get Tough

    Challenge 1: Lack of Motivation/Discipline:

    • Solution: Revisit your “why”. Employ visualisation and measure your results. Keep Morale Up By Celebrating Small Wins.

    Challenge 2: Unexpected Expenses:

    • Solution: That’s what your emergency fund could be used for! Turn it on when you need to, and then recharge it. Avoid touching goal-specific savings.

    Challenge 3: Lifestyle Creep:

    • Solution: Don’t spend significantly more as your income increases.” Instead, automatically increase your savings.

    Challenge 4: Overwhelm:

    • Solution: Divide and conquer, by setting smaller, more manageable goals. Concentrate on one or two important goals at a time.

    Conclusion: Your Journey, Your Success

    So how do you actually go about saving money for your biggest financial goals? In sum: You do so by defining your goals, budgeting efficiently, automating your savings, raising your income, dealing smartly with debt, and selecting the right tools for the time horizon for your plan.

    “Saving money for your big financial goals” isn’t at all about deprivation; it’s just about making conscious choices today that empower your future self. And by employing these “smart saving strategies”, you’re doing more than just saving money; you’re creating that life you had always hoped for. Just do small things often and see your dream come to life.

    Call to Action

    Choose one strategy in the guide and get started on it today. For tailored planning purposes so you can reach your goals, you should speak with a financial adviser.

    Frequently Asked Questions

    1. What percentage of my income should I strive to save for my financial goals?

    The rule of thumb is to save at least 20% of your income for goals including retirement. But the right percentage is going to vary based on your income, expenses and the size and urgency of your specific goals. Try to save what you can afford to.

    2. Should I save in the bank rather than invest for my goals?

    For investment goals between 6 months and 3 years, when the investor priority is not to lose money and to have liquidity, a bank savings account (or a fixed deposit or FD) may be considered.

    For mid- and long-term goals (beyond 3 years), investments in instruments such as mutual funds, NPS and PPF tend to be more beneficial, as they provide the potential to earn higher returns that can surpass inflation.

    3. What is the number one barrier people face when it comes to saving money?

    It’s typically a mix of no discipline, vague goals and lifestyle creep (spending more as earnings rise). Getting past these will take effort, a well-defined budget, and saving automatically.

    4. Can I save for multiple big goals at once, like a house and retirement?.

    Yes, absolutely! It is a common recommendation to save for multiple goals at the same time. The trick is to spend the money in smart ways.

    For example, allocate a part of your savings to retirement (including through NPS/PPF) and another to your house down payment (a separate SIP, FD, etc.), ensuring that each of the goals has a separate stream of funds.

    5. How can I stay motivated to save when things feel so far off?

    It is to break down your large goals into bite-sized manageable steps. Monitor your progress regularly and work towards accomplishing small victories. Envision what you want (a photo of your dream house).

    Savings should be automatic; you should not have to depend on your daily motivation and remind yourself about your “why”.

  • Top 10 Most Common Financial Mistakes

    Top 10 Most Common Financial Mistakes

    Are you neglecting your future without even knowing it? So many of us make money mistakes, and it’s not for lack of good intentions or ideas; it’s for lack of knowing any better. By understanding the “top 10 most common financial mistakes”, you can recognize and work to correct them, thereby creating a more solid financial foundation.

    In order to put you on a path to long-term financial health, this article will help highlight those typical pitfalls, explain why they’re so terrible, and—above all—tell you “how to avoid common financial mistakes” and steer clear of them completely.

    Part 1: The root of financial mistakes: Recognizing the pain is the first step to blame

    Why We Make Financial Mistakes

    Financial blunders are caused by a combination of psychological biases, a lack of financial literacy, and unforeseen life events. For example, the need for immediate gratification can also induce wasteful spending. The herd instinct causes people to jump on the bandwagon without doing due diligence. Also, people don’t understand it very well in financial terms.

    “Everybody makes mistakes; we need to remember that.” The point is to learn from them and plan not to do them again.

    Section 2: Top 10 Most Common Financial Mistakes

    Top 10 Most Common Financial Mistakes

    1. Not Budgeting (or Underbudgeting)

    • The Mistake: Most people don’t know where their money is going, and so overspending occurs, and potential savings are lost.
    • The Solution: Develop a reasonable budget that aligns with approaches like the 50/30/20 rule or zero-based budgeting. Monitor your costs closely and adjust your budget as needed. Learn about the 50/30/20 budgeting rule from NerdWallet

    2. Not Establishing an Emergency Fund

    • The Mistake: People with no financial cushion might resort to high-interest debt in an emergency or sell investments before they should during a downturn.
    • The Solution: Aim to have 3-6 months’ worth of living costs squirrelled away in a separate, easy-to-access high-interest savings account or short-term fixed deposit.

    3. Accumulating High-Interest Debt

    • The Mistake: If you have carried balances on credit cards, personal loans or quick loans, you may find your wealth evaporating fast, as you fork out high interest payments.
    • The Solution: Focus on paying down high-interest debt aggressively (with the snowball method or the avalanche approach), instead. Avoid making only minimum payments.

    4. Not Starting to Invest Early Enough

    • The Mistake: putting off tasks or succumbing to fear can result in missing one of the most powerful forces in investing: the power of compounding.
    • The Solution: Begin investing as soon as you can, even with small amounts. Opt for instruments to invest: Opt for vehicles such as Systematic Investment Plans (SIPs) in mutual funds. For time in the market trumps timing the market, remember?

    5. Missing Out the Diversification Factor While Investing

    • The Mistake: You are taking on a concentrated risk when you invest everything you have in a single type of asset, sector or stock.
    • The Solution: Diversify your investments across various asset classes (equities, debt, real estate, gold), industries and geographies. You might consider investing in diversified mutual funds or exchange-traded funds.

    6. Investing Emotionally

    • The Mistake: “You start buying when things get high (greed), and you start selling when things get low (fear), and obviously that’s a losing strategy most of the time.”
    • The Solution: Stay the course with a clearly defined plan. Automate your investments (through SIPs) to cut down on emotions driving decisions. Remember, market volatility is par for the course.

    7. Ignoring Retirement Planning

    • The Mistake: Overlooking the importance of saving adequately for the long term or thinking future income will take care of it all or that it’s “too early” to start saving for retirement, which can result in a future of potential financial insecurity.
    • The Solution: Save for retirement tenaciously. Make the fullest use of your tax-advantaged accounts, such as NPS (National Pension System) or PPF (Public Provident Fund) in India, or employer-sponsored plans.

    8. Neglecting Insurance

    • The Mistake: Not Accounting for Unforeseen Events: Failing to plan for life’s what-ifs – such as illness, disability or death – can leave dependents financially vulnerable.
    • The Solution: Secure proper health, life, and disability insurance. Regularly review your policies to make sure there is enough coverage.

    9. Failure to Review Financial Plans Periodically

    • The Mistake: Creating a budget or investing plan and leaving it unchanged for life can result in a stale strategy that does not accommodate changes to life.
    • The Solution: Set regular financial planning once a year or twice a year. Change budget, investment mix and goals as life requires (i.e., marriage, new job, baby, buying a house).

    10. Falling for “Get Rich Quick” Pitfalls

    • The Mistake: Falling for get-rich-quick-and-easy pitches usually results in big money losses or the discovery of scams.
    • The Solution: Be sceptical. Recall that true wealth creation is a process, and it does not happen overnight. If something sounds too good to be true, it probably is. Invest only in regulated and well-understood instruments.

    Conclusion: Empowering Your Financial Future

    In short, the “top 10 most common mistakes” have the potential to do in your financial health. But these trips are inside everyone’s control. Your finances are unique, but the fundamentals of good money management are the same for everyone.

    When you can avoid those mistakes and put some smart strategies in place now, you put yourself in a position to grow wealth that lasts and gives you real peace of mind.

    Call to Action

    Figure out what mistakes you could be making and start adjusting quickly. Perhaps discussing with a CFP could help keep you on track with your financial mindset.

    Frequently Asked Questions

    1. If I hate budgeting, how can I track my spending effectively?

    You don’t have to be super strict in budgeting at first. Begin with the simple act of tracking every rupee you spend for a month or two. For a gradual but consistent strategy, use budgeting apps, a spreadsheet, or pen and paper.

    After seeing where your money goes, you can decide what to cut back on and what to reallocate.

    2. Should I pay down my home loan or invest more if I have extra money?

    That depends on how interest rates on your home loan stack up. If loan interest rates are much higher than what you believe you can actually earn from investments, after taxes, wiping out the loan may be more advantageous.

    But if you’re expecting to earn more on your investments, investing starts to make sense. You might consider taking a balance between the two options, especially when it comes to your long-term wealth goals.

    3. I’m already in my 40s/50s. Is it too late to fix financial mistakes and create wealth?

    It’s never too late! “Compounding is most potent when started early, but even getting started in your 40s and 50s can have a big impact.”

    Concentrate on aggressive saving, smart diversification and maximizing retirement contributions (including NPS) to compensate for lost time.

    4. How can I determine what insurance I need and prevent under-insurance?

    Consider your liability (loans), dependents’ requirements and potential loss of income. The general rule when you’re considering life insurance is 10-15 times your income.

    When it comes to health insurance, make sure you’re covered for medical emergencies. Speak to an independent insurance broker for more information on all the options.

    5. What’s one habit to establish for long-term financial success?

    Consistent saving and investing. More than anything else about the markets, the act of habitually saving and investing a portion of your income, year in and year out, is the greatest indicator of long-term wealth.

  • India Faces US Tariff Deadline on July 9: Geopolitical and Cyber Threats Dominate Risk Landscape in July 2025

    India Faces US Tariff Deadline on July 9: Geopolitical and Cyber Threats Dominate Risk Landscape in July 2025

    Political risk continues to be one of the key issues for the economy, and geopolitical risk hangs over it at a time when India finds itself just over a year away, on July 9, 2025, from a crucial US tariff deadline.

    At the same time, a huge global password leak and the Reserve Bank of India’s (RBI) relentless fight against cyber fraud reiterate the need for having strong cybersecurity in the financial system and more financial protection for all.

    Impending US Tariff Deadline and Trade Deal Uncertainties

    The Urgent present risk management India The media around the world is facing the impending deadline for a new trade deal on 9 July announced by US President Donald Trump. leading to continued trade wars.

    Although President Trump tweeted on July 6 that “trade deals are moving along very well” and alerted that the imposition of tariffs is on the way, it is not clear if India makes it to any such definitive agreement. The tariffs – ranging from 10% to 50% – were due to kick in on August 1 and could hurt India’s exports and therefore the rupee.

    The continuing talks, notably over US farm products’ access to markets, are tough. India’s inability to nail a fair US trade deal could up the ante on geopolitical risk and bring market volatility.

    Massive Password Leak Signals Heightened Cyber Threat

    As a strong testament to the extent of cyber vulnerabilities, a July 7, 2025 report highlighted a large-scale worldwide leak of passwords, estimated at about 16 billion for use on assorted online accounts. That exposes customers to major risks, from social media hacks to potential bank hacks.

    A strong government advisory tells people to stop reusing passwords and start enabling multi-factor authentication for all online services. This incident reflects the importance for you and me to take our digital hygiene seriously because our own financial security and security as a community depend on it. For more details on this significant password leak and recommended safety measures, see The CSR Journal’s report.

    RBI Proactive Against Financial Fraud

    The Reserve Bank of India’s (RBI) fight to cut down on banks for combating financial fraud is not showing any signs of slowing down. The DoT’s Financial Fraud Risk Indicator (FRI) tool is being fed into the systems of banks, and this treasure trove of information is more than any trigger that can be programmed into FRI.

    This tech identifies mobile numbers according to whether they belong to the risk of financial fraud and allows banks and UPI platforms to take real-time action to prevent a dubious transaction in the first place.

    HDFC Bank, PhonePe, ICICI Bank and Punjab National Bank are already using FRS, and these numbers exhibit the strict regulatory environment of India in fighting cyber-enabled financial crimes, The Economic Times reported.

    The Complete Solution for a Digital World of Risk

    Beyond immediate threats, holistic risk management is critical for an increasingly digital India. The combination of AI-based early warning systems, zero-trust security models and behavioural analytics is becoming a critical part of financial institutions’ ability to detect and address advanced attacks, such as those that leverage generative AI and deepfakes.

    And, while it’s not directly related to today’s news, the larger conversation about preserving household wealth, especially as it pertains to assets such as gold in the face of price volatility, is another component in the background of the financial protection market.

    The complex risk management in India in July 2025 is characterized by the interplay of global trade dynamics, sophisticated cyber threats and domestic policy responses.

  • RBI Savings Bond Rates Unchanged, Gold & Silver Dip, and ATM Fee Hikes Impact Daily Transactions

    RBI Savings Bond Rates Unchanged, Gold & Silver Dip, and ATM Fee Hikes Impact Daily Transactions

    For those Indians who are responsible for their own financial planning, Monday, July 7, 2025, is a day of stability and new challenges. The Reserve Bank of India (RBI) has left interest rates on its popular Floating Rate Savings Bonds unchanged, and precious metals including gold and silver have come down.

    At the same time, we can expect an increase in the fees for ATM transactions that will influence our daily banking behaviour.

    Fixed Returns – RBI Floating Rate Savings Bonds

    In a significant update for savers, the RBI has decided that the interest rates on its Floating Rate Savings Bonds (FRSB 2020 (T)) would continue to be at 8.05% for the July 1-December 31, 2025, period.

    This rate, 0.35% higher than the prevailing National Savings Certificate (NSC), provides an attractive and safe investment avenue for those looking for assured returns on the money invested.

    Interest on these bonds is paid twice a year (on 1 January and 1 July). They start at an investment of ₹1,000, and with no cap, they are affordable for different kinds of investors. For official information regarding the RBI Floating Rate Savings Bonds, refer to the Reserve Bank of India’s website.

    Important Considerations for FRSB Investors

    Even though FRSBs are secured instruments, investors have to note that there is a lock-in period of seven years. Early withdrawal is generally limited, but seniors are afforded some leniency based on their age, even if they are penalized.

    It is important to note that the interest income generated by such bonds is fully taxable, and TDS (Tax Deducted at Source) is applicable if the annual interest amount crosses ₹10,000.

    That makes it crucial, then, for investors to consider the tax on investments as part of the overall returns and to incorporate these bonds into their overall financial planning tips.

    Gold and Silver Prices See a Decline

    Gold & Silver: In the commodities market, on July 7, 2025, the value of gold and silver has also declined according to global trends. Prospects for lower demand lifted spot gold prices internationally. On the domestic front, gold prices today in India showed little change as 24-carat gold was being sold at ₹98,993 per 10 grams in the Indian capital, New Delhi, and other major cities.

    Likewise, the silver price today in India also registered a fall to trade at ₹108,370 per kilogram. The pressure on the precious metals may be coming from what appears to be a few global economic signals and some possible headway in an international trade conversation.

    ATM Costs Mount for Daily Transactions

    In a move that will make everyday banking even more expensive, several leading banks like Axis Bank, ICICI Bank, etc., have revised their ATM transaction charges with effect from July 1, 2025. For Axis Bank, for bank customers who exceed the free transaction limit, it has been raised from ₹21 to ₹23.

    These new fees impact different account types and are intended to compensate banks for growing back-office expenses. Heads up – People need to be aware of these changes in order to avoid additional fees or revise their budgeting pointers.

    This Indian personal finance news for July 2025 reminds us that it is still necessary for people to track the markets and banking rules to manage personal finance well.