Key Financial Deadlines to Note for March FY 2024-25

As we approach the closing of FY 2025-26, investors should review their investment strategies and insurance plans to minimise their tax liability and avail themselves of various benefits provided by government insurance schemes. Some of the critical deadlines you must NOT MISS are as follows:

15 March 2025: To Avail ELI Benefits

The Employees’ Provident Fund Organisation of India (EPFO) has extended the deadline for the activation of the UAN (Universal Account Number) for working professionals up to 15 March 2023. Make sure to seed your Aadhaar numbers with your personal bank accounts to provide adequate financial coverage for your families in the event of any adversity (under the ELI scheme).

31 March 2025

Here are the most important things to do before this date:

  • File An Updated ITR

An updated ITR can help you avoid unnecessary trouble from income tax authorities in case you have missed reporting additional income previously. An updated ITR can be filed any time from 2 years after the end of the assessment year. However, the deadline for FY 2022-23 is approaching fast, so make sure to tick this off your to-do list.

  • Invest In Special FDs

With the RBI’s recent decision to reduce the repo rate by 25 basis points, banks are expected to switch towards offering regular interest rates on their FDs, thereby putting a stop to their special schemes. However, special FDs offer higher interest rates for an average investor, which makes them an attractive investment instrument. Hint: Explore the SBI Amrit Kalash scheme.

  • Invest in Tax Saving Instruments

As you eagerly explore these options, don’t forget to avail deduction for your investments under the Income Tax Act! By investing in tax saving schemes like the Equity Linked Savings Scheme, National Pension System, Public Provident Fund, and Employees Provident Fund, you can reduce your tax liabilities and increase the size of your retirement corpus substantially.

Be careful to meet these deadlines to ensure maximum returns on your investments and provide a reliable safety net to your families before adversity occurs.

 

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

Will the United States Exit the World Bank and the IMF?

Project 2025 is a conservative blueprint of Donald Trump’s second presidency in the United States. It is aimed at reshaping government institutions by advancing conservative policies and limiting the influence of liberal agendas.

Financial Gains From IMF

Every year, the US Treasury Department analyses the financial impact of America’s contributions to the World Bank and the International Monetary Fund. In FY 2023-24, it obtained an unrealised gain of USD 407 million from the IMF. Hence, it is unlikely that the United States will cut off its branch by exiting these organisations.

The International Bank for Reconstruction and Development (headquartered in the United States) under the World Bank Group is financed by borrowing countries such as Turkey, India, the Philippines, Argentina, and Indonesia. By exiting the World Bank, the US would lose a key source of international funding, which may impact its economy.

In fact, the United States has provided USD 3.7 billion as paid-in capital to the IBRD and potentially stands to lose an opportunity for earning interest payments on loans advanced by the IBRD to developing economies.

US Relationship With IMF and World Bank

The United States is closely reliant on the IMF and World Bank for advancing its national interests, building strategic defence and security alliances, and addressing cross-border threats of terrorism. It also provides crucial reconstruction funding support to war-torn countries, including Afghanistan and Iraq.

Why Does The Government Want To Exit?

As per the US Department of Commerce, America’s economic growth declined to 2.3% during October-December 2024, despite witnessing solid growth in consumer spending at the time. Increasing concerns surrounding GDP growth have prompted the Trump administration to adopt the “America First” policy, thereby signalling a potential exit.

Conclusion

Though the Trump administration has a unique view of making America great again, the government can lose substantial cultural and economic influence over the world by formalising an exit plan. Hence, such a decision is unlikely, as it would give China (a key economic competitor of the USA) greater leverage in international institutions.

 

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

Why the World Bank Believes in the Long-Term Potential of the Indian Stock Market

Despite the prevalence of adverse macroeconomic conditions worldwide, India is expected to emerge as a “shining light” for potential investors (us!), says the World Bank. This can be attributed to the growing popularity of renewable energy projects and continuous government efforts to improve income and consumption levels in rural areas. 

Madhya Pradesh in the Limelight

The World Bank has emphasised on the strategic geographical advantages enjoyed by Madhya Pradesh as a key driver of India’s renewable energy industry. By 2030, the MP state government aims to meet 50% of its annual power consumption through clean sources. This is expected to increase stock market prices for energy companies in India. 

On 28 February 2025, the state government launched the Madhya Pradesh Renewable Energy Policy 2025 with the objective of incentivising the development of clean energy projects. It aims to attract investments worth ₹100 billion for creating adequate infrastructure for manufacturing renewable energy generation equipment. 

The increasing adoption of renewable energy sources by rural households is expected to reduce their electricity bills and further increase rural consumption. This is further expected to impact the market dynamics favourably. 

Growth of Monthly Per Capita Consumption Expenditure (MPCE)

The Ministry of Statistics and Programme Implementation publishes the MPCE to analyse the living standards of different households and estimate the number of households living below the poverty line. 

As per the Ministry of Statistics and Programme Implementation, the MPCE in rural areas of Odisha has witnessed the highest growth rate from FY 2022-23 (14%). Moreover, Kerala (18%) and Punjab (27%) have witnessed a significant decline in urban-rural MPCE differences. This is expected to favourably impact stock market performance in the long-run. 

In FY 2023-24, the Indian GDP recorded a growth rate of 8.2%. As the number of salaried employees and wage earners under government programs in rural India increases, expenditure on food products is expected to increase, thereby benefiting the stock market prices of FMCG companies. 

Based on government sources, food accounts for nearly 47% of the average household consumption in rural India. Beverages, processed foods, and refreshments are extremely popular (9.84%), followed by milk and dairy products (8.44%), and fresh vegetables (6.03%). This is creating a favourable outlook for the Indian stock market. 

Conclusion

As India strives to become a “vishwa-guru”, sustainable economic growth is expected to remain its key priority. With increasing government expenditure on the expansion of renewable energy projects, the Indian stock market is expected to pick up pace and generate steady returns for investors. Rising rural consumption is also favouring the overall economic outlook. 

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

 

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.

Aayushi Chaubey