Best of the week: Milan vs Paris in Munich, and lessons for South Asia

This week witnessed escalating tensions between our defence forces and Pakistan. While that remains the main headline, it was also a week filled with significant developments. From the election of a new Pope to the suspension of the IPL, much unfolded across different spheres. For football fans, one of the highlights was the second leg of the UEFA Champions League semi-finals.

Inter defeated Barcelona, while PSG overcame Arsenal in two tightly contested matches played on Tuesday and Wednesday, respectively. While these teams are globally recognised by name, in essence, it was Milan beating Barcelona and Paris defeating London (well, North London to be specific). Why refer to them by their cities? Because these cities span across national borders—they are not from the same country, but from different corners of Europe. The Champions League is more than a sporting event; it symbolises European federalism, a concept that gained prominence in the continent in the aftermath of some of the most devastating conflicts in human history.

The UEFA Champions League predates the European Union but has long embodied the principles of European integration. Founded in 1955 as the European Champion Clubs’ Cup, it reflects how European nations, despite vast differences in language, culture, and economics, have come together in peaceful competition. The tournament illustrates a functional model of unity where diversity is not only accepted but celebrated.

In many ways, the Champions League is a metaphor for European federalism. It shows how shared institutions and rules can bind diverse nations through cooperation, mutual respect, and common goals. For South Asia—a region similarly marked by cultural richness but also deep political divisions—there is much to learn. A regional framework that encourages collaboration, cultural exchange, and peaceful competition, modelled after Europe’s sporting and political integration, could pave the way for greater unity and long-term stability in the subcontinent.

On to the best of Mint’s work from this week:

Real covid death toll

India saw 2.1 million excess deaths in 2021, according to newly released government data, offering the clearest official estimate yet of the human toll from the covid-19 second wave. Until now, the true extent of mortality remained unclear, with critics accusing authorities of underreporting and the healthcare system in disarray during the crisis. Mint’s data editor Tanay Sukumar analysed data from the Sample Registration System (SRS), which shows total deaths surged from an annual average of 8.1 million (2018-2020) to 10.2 million in 2021. This excess, while not solely attributable to covid-19, points to massive undercounting: official covid deaths that year were reported at just 333,333, implying the actual toll was 6.4 times higher. Read more.

OTC meds to be more accessible

Pain relievers, cough syrups, antifungal creams and other over-the-counter medicines could soon be available at regular retail shops, as the government finalises rules to expand access to basic drugs without prescriptions. While this promises greater convenience, especially in rural areas, experts and pharmacists warn of risks from misuse and self-medication. A final list of approved OTC drugs is expected soon, along with rules for licensing and labelling. Read more. 

Revival for BluSmart?

Investors in BluSmart are in advanced talks to buy out co-founder Anmol Singh Jaggi and his brother, aiming to restart the EV ride-hailing business after Sebi barred the duo for financial misconduct. The deal, led by BP Ventures, would protect investor capital, bring BluSmart cabs back on the road, and separate BluSmart from the promoters’ other firm, Gensol. Legal and share transfer issues are being resolved as due diligence nears completion. Read more. 

Can HDFC take on Bank of China?

HDFC Bank recently became India’s second-most valuable company with a market cap crossing ₹15 trillion, fueled by a 35% stock surge over the past year. Once a laggard, the bank is now gaining analyst confidence following improved FY25 results and a projected 17-22% upside. After years of stagnation, HDFC Bank's tech upgrades, aggressive branch expansion, SME lending focus, and a recovery in its credit card business have helped reverse post-merger setbacks. Read more. 

RBI says “Yes”

Japan’s Sumitomo Mitsui Banking Corporation (SMBC) is set to acquire a 51% stake in Yes Bank. This marks a major shift in ownership for India’s sixth-largest private lender. The Reserve Bank of India has reportedly approved the transaction, with a condition that SMBC’s voting rights remain capped at 26%, even if its equity stake crosses the majority threshold. Initially, SMBC is expected to invest at least $1.7 billion for up to 26% and gradually increase its stake to 51%, potentially through a share swap and the establishment of a wholly owned subsidiary in India. Read more. 

IndusInd in more trouble

Statutory auditors of IndusInd Bank have uncovered discrepancies in how the lender accounted for microfinance loans, specifically failing to record separate interest income entries for individual borrowers, three people familiar with the matter told Mint. The anomaly, amounting to around ₹600 crore, was flagged during the audit of the bank’s Q4 and full-year financials. Read more. 

Inside Ather’s IPO

Ather Energy’s IPO, which closed on 30 April with strong investor interest despite a sharp valuation cut and continued losses, marks a turning point for deeptech startups in India. The Bengaluru-based EV maker’s journey—from a student-led engineering hypothesis to manufacturing-intensive scale-up—signals that long-term, hardware-driven innovation can survive and thrive in a venture ecosystem dominated by software. Read more. 

Landmark deal

India and the United Kingdom concluded a landmark Free Trade Agreement (FTA) and a Double Contribution Convention on 6 May, marking a pivotal moment in their economic and strategic partnership. After nearly three years of negotiations, the deal addresses long-standing hurdles such as carbon tax concerns and limited visa access for skilled professionals. The FTA aims to lower trade barriers, attract investment, foster innovation, and generate jobs across sectors like FMCG, healthcare, and technology. Read more. 

Pay hike plans on back burner

Salary hikes in India are likely to fall short of earlier projections, with consultants like Deloitte and Aon now expecting more muted increases due to ongoing global volatility, cautious client behaviour, and pressure from geopolitical and economic headwinds. While Deloitte had estimated an average pay hike of 8.8%, Aon had predicted 9.2%. However, actual pay hikes may be even lower in some sectors. Companies in banking, IT-enabled services, and export-dependent industries are especially exposed, prompting a shift toward performance-linked pay and delayed appraisals. Read more.

Can Pakistan afford to pick a fight?

In 2023, Pakistan narrowly avoided sovereign default after securing over $10 billion in bailout funds from the IMF and World Bank. The country’s economy had collapsed under the weight of political instability, poor governance, high inflation, and dwindling foreign reserves. While some recovery has taken place, Pakistan remains dependent on external aid and loans from friendly nations. Tensions with India following recent terror attacks have forced Pakistan to divert scarce resources toward military mobilisation. India’s precise and targeted strikes have raised the stakes, but it is Pakistan that faces the greater economic risk. Moody’s has warned that any sustained escalation could derail Pakistan’s fragile recovery. As the IMF prepares to meet on 9 May to approve more loans, one question looms: can Pakistan afford to pick a fight with India? 

That’s all for this week!

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Best,

Siddharth Sharma

Community Editor