The Finance Minister of India, Nirmala Sitharaman, recently attributed the major slow-down of India’s automobile sector to the “millennial mindset”. Here is looking into the same, and beyond.

The Union Minister of Finance, Nirmala Sitharaman, stirred a wasp’s nest recently, when she commented that the Indian millennials’ preference for app-based cab provider services such as Ola and Uber, is one of the leading reasons behind the ongoing grand fall of the Indian’s automobile sector. According to Sitharaman, who is an alumna of Jawaharlal Nehru University in Economics, there has been a change in the mindset of millennials who now prefer cab aggregator services for their daily commute, instead of committing to paying monthly instalments for a car. She also cited metro as a reason for why young urban consumers are buying fewer cars.
Sitharaman’s analysis comes at a time when India’s auto industry is facing the worst setback in its history. In August this year, when sales fell by 41 percent, we had the tenth consecutive negative month for domestic passenger car sales in India. The broader industry scenario also reflects on the reality of the automobile industry with car companies putting brakes on investment, dealerships shutting down in large numbers, and lakhs of jobs already gone Maruti, India’s largest automobile producer, has reported its seventh consecutive month of contraction in the demand for cars. In conversation with the Economics Times (ET), Maruti Chairman, R.C. Bhargava, said that the situation could get even worse, since he sees more workers in the automobile sector getting fired in the near future. The automobile production industry gives employment to around 7.6 million people in India. However recently, due to fall in the demand (and hence, the sale) of cars and other vehicles, the production of automobiles has left 20 to 30 percent people of this number, unemployed.
Going by the numbers, this auto slowdown is mere a reflection of our country’s overall economic woes than anything else. Consumption, the main component of the economy, is falling; the growth rate of our Gross Domestic Product (GDP) has fallen to a six-year low; and unemployment is pegged at a 45-year high.
Sales of buses and trucks also saw a precipitous 39 percent fall last month, compounding the auto industry’s trials. According to Bloomberg, it actually is a pointer to the general fall in demand in the Indian economy — something that extends way beyond the country’s millennials and their buying behaviours.
According to ET, millennial consumers are deferring buying decisions in view of the uncertainty of India’s economic indicators. Other factors down the line that have contributed to the auto slump include
the sluggish urban income growth that has ploughed the demand for cars, “haze” car norms that are confusing buyers, the shadow-banking crisis has made loans scarce,thegovernment’spushfore-vehicles in the country, and the rising fuel prices. Moreover, a drop in private investment and banking crisis has led to a weakened consumer demand.
On the other hand, millennials today are hyper-aware of their impact on the planet, and are consciously buying less. They are also waiting for eco-friendly options to emerge in the market. Abhinandan Kaul, a first-year student of St. Stephen’s College agrees, “Our generation is well-read and conscious about the decisions they make as global citizens, so making efforts towards green-living is a priority for many.”
According to some analysts, millennials are saving up for efficient electric alternative vehicles and waiting for cars that will comply with the new pollution standards (Bharat Standard-BSVI-whicharetobeemployed from April 2020 onwards).
Tanmay, a law student, affirms, “People our age use cabs for commuting, but there are many other lynchpin factors affecting this sector.” The reasons for the auto-industry’s plunging sales are varied, and millennials’ aversion to owning cars may have only had a brief impact, if at all, on car sales numbers. This impact, however, cannot be extended beyond the country’s urban centres, where cab service apps enjoy wider user bases.


Feature Image Credits: Namrata Randhawa for DU Beat


Bhavya Pandey

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Having bid adieu to uniforms, daily lunchboxes, and travelling in school buses, college is when you learn how and where to spend money.

Coming to college is a step towards becoming an adult; but it can be a tough nut to crack when it comes to managing finances. Here are some tips to manage all this, smartly and efficiently:


In all the excitement to go to college all prepared, we do not realise how much money has been spent. When the realisation begins to kick-in, it is best to not have an ambiguous figure in your head; rather, a clear image of how much money is spent on different four major things – clothes, travel, food, and books or other resource material. You can also modify this budget list by adding or removing fields, based on your spending or interests.

Spending Smartly and Saving

Now try and identify expenses which can be moderated. Instead of purchasing books every semester, borrow these from your seniors or even buy them second-hand. This is a smart choice, given that there is a possibility they will have notes, or important points marked.

Instead of buying whatever clothes please your eye, make sure you try them on in the store, so there is no possibility of them being the wrong size, or something you are not comfortable in.

Ishita of Kamala Nehru College (KNC) gave a good tip and said, “I live in Dwarka where ricksha wallahs ask for a lot of money even if you go in the shared ones, I discovered that Ola and Uber cost less and were more convenient.” It is important to try out different routes or transports to rule out the most tedious ones.

Student Discounts and Offers

Today, there are endless online stores, apps, offers and combos that allow you to spend smartly, and save plenty. You only need to become aware of these avenues, for example, waiting for sales to buy clothes. Devyani Arora, a student of KNC, shared, “Many food apps have discounts that can be availed, and there are coupons that reduce the cost further. If you do not have coupons, you can also pay through Amazon Pay or Paytm to get some cashbacks.”

When going out with friends you can look for restaurants offering “1+1” deals. Arora went on to add, “Using online portals or payment through credit cards can also help get points for you to redeem later.”


Feature Image Credits: Skymet Weather


Shivani Dadhwal

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On 15 September 2008, the Financial Crisis of 2008 became official as The Lehman Brothers, THE financial service firm at the time, filed for bankruptcy, taking the world by surprise. It left well over $600 billion in debt, 25,000 employees jobless and in shock, and the global economy in turmoil. Here’s what you should know, and why you should care.

You’ve probably come across the term ‘2008 Financial Crisis’ at some point in your college life, perhaps in group discussions, newspapers, or Hollywood blockbusters like The Wolf of Wall Street and The Big Short. Most explanations and reasonings for the same (and other finance related issues) comprise of jargon and (really) unnecessarily fancy words, making these trends seem within and on the fringes of elite academia. This has created an inertia regarding financial literacy among students not academically pursuing commerce. This is messy, because, if anything, a teenager’s need for financial knowledge has grown more urgent over the past decade. My point is, you’ve probably heard if it, it probably affects your life, and yet you probably don’t know exactly what happened.

Often dubbed by economists and journalists as a colossal failure of common sense, the 2008 Financial Crisis was the result of excessive risk taking, a system often called ‘Casino Banking’. The problem with risk taking is that it’s not as glamorous as The Wolf of Wall Street – building a Jordan Belfort shrine won’t bag you riches and a blonde Margot Robbie, and your demise is inevitable.

Predictably, the problem starts in the United States of America, with a ‘housing bubble’ – a bubble is created when unjustified speculation leads to rapid increase in prices (something similar is happening in the CryptoCurrency trade).

Banks provide housing loans to borrowers, who in turn mortgage the property in consideration to these banks. A borrower needs a credit history in order to qualify for a loan and prove their ability (and intent) to repay the same. A credit history includes income details, debt record, education, dependent family members, so on and so forth. The underlying cause of the US banking problem was that too many bad mortgages had been written using fraudulent credit histories, and these weren’t all going to get repaid.

Borrowings from the wholesale markets were lent and then bundled into bonds (securities). These bonds were then sold; the Lehman Brothers, a leading global financial services firm, bought several mortgage brokerages and posted record profits. This failed when the all the fraud behind the mortgages came to light, and the market basically freaked out, not willing to lend through those wholesale markets anymore.

This impasse soon spread to other debt markets. Banks began to doubt one another’s solvency. Trust evaporated. The Lehman Brothers declared bankruptcy, catalyzing widespread panic. On September 15, 2008, global financial services firm Lehman Brothers famously declared bankruptcy, leading to widespread panic in the financial industry. Suddenly, the U.S. economic decline, a result of the housing bubble burst in 2007, became a long-lasting global financial crisis.

Eventually, “Uncle Sam” had to jump in with aid amounting to hundreds of billions of dollars and guarantee that major banks would not fail – this couldn’t work for the Lehman Brothers. They were considered to have crossed the point of no return.

When the financial meltdown morphed into a worldwide economic downturn, it had repercussions across every industry and in every household: people lost homes, livelihoods, and their families. It was the Red Wedding of the finance world, second only to the Great Depression. This outlines the uncertainty and error inherent in ‘anticipating what average opinion expects the average opinion to be’. No system is foolproof, and students need to take into consideration important instances from history, before making concrete decisions or getting into an overheated debate with a colleague!


Nikita Bhatia
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The Union Budget for this fiscal year was announced on 1st February 2018. Here is a look at all the aspects concerning the student varsity of India.

Economists and critics have had their opinions about the National Democratic Alliance (NDA) government’s last budget before the 2019 elections. Let us look at how education fared in Arun Jaitley’s last budget which mainly focuses on the agricultural sector.

1 lakh Crore will be invested in RISE (Revitalisating of Infrastructure and System of Education) till 2022 aiming to improve the state of quality education and infrastructure of such institutions. Similarly, Eklavya schools will be opened in areas of more than 50% tribal citizens. The real question is whether this money will be fully utilized in these missions or will the future generation of India still grapple with low standards of education in its government schools. According to studies, the quality of education in the already established government schools is abysmal and students often drop out.

18 autonomous Schools of Planning and Architecture will be made in Indian Institute of Technology (IIT) and National Institute of Technology (NIT) across the country. In the latest Prime Minister Fellows Scheme, 1000 B.Tech students of premier institutions will be selected to pursue their PhDs from IITs and IISs. They would be provided with handsome fellowships and be expected to teach in high schools for a couple of hours every week. This scheme would help scholars having  limited means improve their job and future prospects. A Railway University will also be set up at Vadodara, Gujarat.

12.56 Crore rupees have been allocated for scholarships for students with disability. Government teacher training will also be provided to improve the quality of education in government. schools. The focus and benefits for startups are likely to create more jobs in the economy.

The government’s decision to reduce Employees’ Provident Fund from 12% to 8% is not an intelligent move as it decreases the employee’s retirement money as well as interest that could have been earned. No focus has been paid to construction of more medical colleges and availability of easy student loans.

The budget is not inclusive of all students and does not benefit them equally. The students’ votes would depend on how well the government performed during these past four years overall and how well it helped boost our economy. The economy is a vital tool in the functioning of any country, considering the fact that approximately 50% of the population is below the age of 25, the economy must cater to students due to abundance in numbers.

Feature Image Credits: The Financial Express

Prachi Mehra

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Save smart and save early with the right investment plan, to make your future beyond college secure, and worth looking forward to.


They say “time is money” and indeed, it is so for us college students. This is our  time to gain knowledge beyond the courses that we are enrolled in, which will in turn prepare us for the big challenges of the ‘real’ world. One of those challenges is in the financial sphere and entails savings. Trying to save small increase wealth will go a long way in our lives as adults, which has only just begun. Here are some ways how you can go about it:

  1. Start off by opening your own savings account. The procedure isn’t long and it gives you a sense of freedom. Even from the pocket money which you receive, try putting aside some meagre amount into the account. Think of it as an emergency fund, put it aside in the beginning of the month and if you feel broke by the end of month, you may use some of it. Savings accounts give you interest on your money, but the return doesn’t feel like it’s too much, until the amount you add to the account increases over time.
  2. An easier way to earn some cash is to sell your old stuff, like clothes, used electronic items, books etc. This money can either be invested or used later.
  3. For the courageous ones amongst you, investing in mutual funds is a great way to increase wealth, and it can be encashed whenever the investor wants. Monthly SIPs (Systematic Investment Plan) is the best way to invest in mutual funds, which are safer than investing in shares and debentures. There are numerous companies out there which invest your money in safe projects and from which you earn interest later.
  4. For those adventurous investors who don’t mind taking risks because you learn from your mistakes, equity funds are the answer. Before you begin investing, you require a Demat account, which can be opened with the help of any broker. Equity funds or shares require a lot of research about the company, its projects and so on, but the return on equity funds is generally more than mutual funds.

So start investing early and have a good back-up plan for some emergency or just in case you need cash for some fun (Say, how about a spontaneous excursion or your dream of travelling alone?).


Feature Image Credits: allbusiness.com

Prachi Mehra

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The union budget is a big deal. Every year on the last working day of February, the Finance Minister presents the budget in the Parliament by the means of a Financial bill, which is then debated and passed and put into effect from the first day of the new financial year, i.e, April 1.

Despite the hue and cry around the budget from several weeks before its announcement, and the prime-time TV and front page newspaper analyses, a lot of the general public’s interest in the budget is limited. Understandably enough, because it’s a lot of jargon they don’t understand and a lot of issues which don’t impact them directly. Although it is true that all aspects of the budget will eventually impact everyone (it’s quite literally a budget; an allocation of the government’s resources between all the different sectors and activities it takes cares of), what most people are interested in is how it affects them. This holds for college students too. Well, we got you, fam.

Here’s a list of the specifics we think are going to impact an average college student in India:

1. Shopping will require more moolah

This one’s gonna sting a little, especially if you’re someone who is brand-conscious while shopping. Prices of branded garments are set to rise by 2-5% with the government levying excise duty on ready-made products of Rs 1,000 or more.

2. Good news for budding Entrepreneurs

If you have an idea for a start-up, this might just be the sign you’re looking to actually pursue it. The finance minister announced a number of initiatives for start-up ventures, including 100% tax exemption for three years. It gets even better if you’re a woman or belong to the SC/ST category because Rs. 500 crore have been allocated separately which will help your business flourish .

3. Most tobacco products to get dearer

In a bid to discourage consumption of tobacco and related products, the government hiked excise duty (a kind of tax on goods produced within the country) on cigarettes for the fifth year in a row. A sign to finally quit smoking? Well, the government sure wants you to.

4. Costlier flying but smoother roads ahead

This one holds mostly for outstation students who have more last minute travelling to do than the rest of us. There’s a proposed hike of 6% in excise duty on jet fuel, and of around 6% on the ATF, which will eventually add up to fliers shelling out more money. Travelling via roads is bound to become smoother because of the focus on infrastructure.

5. Other dents in your monthly budget

Mobile phones, tablets, aerated drinks and imported imitation jewellery are some of the other items that are set to become pricier.


Image credits: marketing-mojo.com

Shubham Kaushik

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The Finance and Investment Cell, Hindu College is conducting its inaugural fest, Enigma 2013. Combining elements from Economics, Finance, Politics, Psychology, Quizzing, Logic, Analysis and Social Science, the Fest presents to you a set of completely unique events that will take you on a roller coaster ride through a variety of challenging rounds that will test your ability to think, balance and act a wide range of options, each seeming tougher than the next! Enigma is slated to take place on 18th and 19th February, 2013, from 10 am to 2 pm (both days). Registrations for the same are both online and on-the-spot. Enigma 2013 boasts of cash prizes worth Rs 10,000 per event. Apart from that, the first 100 online registrants get an assured prize as well! Here are 4 headline events scheduled to take place during the Fest: Breaking the Bank: 18th February, 11 am (http://goo.gl/4KL90) A financial thriller with a psychological twist. Need we say more? The Great Indian Tamasha: 18th February, 10 am (http://goo.gl/yTn5y) Tests your ability form alliances, negotiate and defeat your political opponents through sheer boldness, analysis and a dash of cunning. Dungeons and Dragons: 19th February, 11 am (http://goo.gl/ao5E9) It takes the brave, bold fast thinkers to see the glory of the final round and the enticing prize at the very end. The Balancing Act: 18th February, 12 pm (http://goo.gl/emfE3) You step into the shoes of the Finance Minister and face the tough choices he faces. The balance between fiscal responsibility, growth, social welfare and political goodwill lead to a fast-paced game with ever changing variables. Visit their official website for any other details about the fest: http://fic-hindu.com/  ]]>

FinX: The Finance Society of CBS[/caption] In a world where pragmatic knowledge is essential, a unique initiative such as that of the Finance society of Shaheed Sukhdev College of Business Studies goes a long way in bridging the gap between the classroom culture and the real world understanding. Incepted in 2008, FinX is a unique initiative taken by the students of S.S.C.B.S with the intention of providing financial education and testing the financial acumen of students. The society runs a weekly e-paper, the Weekly Pulse, throwing light on major developments in the world of business and finance and giving insights on the effect of policy decisions in the macro economy. The USP of FinX though is its mock stock trading game – FinWiz. Among the various stock trading simulations doing the rounds in colleges, FinWiz comes closest to matching the bullish and bearish trends of the stock exchange market. Chirag Jain, student coordinator of FinX says:

“Since we believe in matching up to the standards of our highly intellectual and stimulating participants, each event entails a proper format depicting the vagaries of the stock markets, its dynamic spirit, of being moved by the forces of real demand and supply, its uncertain nature and the thrills of playing with virtual money. Apart from pioneering mock stocks, we organize finance quizzes, bidding wars and online contests.”
[caption id="" align="alignright" width="227"] FinWiz[/caption] This year Fin Wiz is scheduled for January 31 and is being hosted in partnership with the Bombay Stock Exchange. Chirag adds, “BSE is helping in making the event grander. Also their representatives will be explaining the concepts of stock markets that are going to be tested within FinWiz. So, for those who don’t have previous knowledge, BSE will ensure you are quickly equipped with the needful acumen.” The society also indulges in holding other competitions such as Fight of the Knights, FinQuizzitive, Bulls and Bears and Debt o Blast throughout the calendar to test the skills of finance enthusiasts from Delhi University. As Rich Dad from Robert Kyosaki’s series would proudly put it, ‘Anyone who is not financially literate cannot see into an investment’. Shashank Gupta [email protected]      ]]>