TICE Dispatch: December Opens with Fiscal Push, Market Caution & Startup Resilience

As winter settles in, markets in India started the month on a cautious note. While policymakers gird up for an important Reserve Bank of India (RBI) monetary policy meet this week, the government rolled out fresh spending proposals ahead of Budget 2026. At the same time, the nation's startup ecosystem — despite a dip in deal count — continues to attract big cheques, signalling resilience among founders and investors alike. Here’s the roundup for what matters today.

Top News Today

Government & Macro Economy

• Supplementary spending ahead of Budget 2026
The government has moved the first batch of Supplementary Demands for Grants for FY 2025-26 through Parliament, seeking approval for a net additional outlay of ₹41,455.39 crore. The additional spending totals a gross ₹1.32 lakh crore, balanced by estimated savings of ₹90,812 crore across ministries. The outlay includes ₹18,525 crore for fertiliser subsidies and about ₹9,500 crore to support oil-marketing companies.

• No DA-basic pay merger, for now
Amid renewed demand for dearness allowance (DA) to be merged with basic pay (especially after DA reached 58%), the Finance Ministry clarified that there is no proposal under consideration to merge DA with basic pay or pension base. The government reaffirmed that periodic DA adjustments will continue based on inflation indices.

Markets, Currency & Monetary Policy

• Markets slip as volatility returns
Indian equity markets started December with a tepid session: both benchmark indices Sensex and Nifty 50 slipped from record-high openings amid mixed global cues, profit-booking and uncertainty ahead of central bank decisions. Commodities also saw softness — for example, copper futures weakened on subdued domestic demand.           

• Rupee under pressure as traders await RBI’s move
The Indian rupee hovered near all-time lows, with traders and bond-market participants closely watching the upcoming RBI policy meet scheduled for this week. With domestic growth remaining robust — Q3 GDP growth surprised on the upside — but inflation still manageable, markets are speculating a potential 25 basis-point rate cut.

Startup & Innovation Ecosystem

• Larger cheques, fewer deals — signs of maturity in early-stage investing
Data suggests that early-stage funding rounds in India are now drawing bigger ticket sizes, even though the number of deals has dropped compared to previous years. As of 26 November, the average cheque size in early-stage rounds was just shy of prior peaks — reflecting a consolidation phase in the startup investment cycle.

• Indian startups raised nearly $296 million last week
Between 24 and 29 November 2025, a number of Indian startups across sectors secured funding totalling about $296 million. The high was led by solar-energy focussed firms, though other sectors — from consumer brands to deep tech — also featured.

• Pre-IPO board reshuffles among tech and startup firms
With several Indian startups gearing up for IPOs, boardrooms are seeing significant reshuffling — a trend visible in the latest update from the tech press. Analysts view this as a move by founders and investors to strengthen governance and prepare for public listing scrutiny.

• Startups lean on services to cut costs: a sign of ecosystem frugality
Some Indian startups are reportedly using services that help them reduce administrative burden — for instance, opting for virtual-office solutions instead of leasing full offices simply for GST registration or legal address requirements. This points to growing cost consciousness among new ventures.

Geopolitics & Trade

• India–Russia business ties aim high ahead of diplomatic visit
In anticipation of the upcoming visit by the Russian President to New Delhi, India and Russia have reaffirmed ambitions to boost bilateral trade to the tune of $100 billion by 2030. The plan — to be discussed at the India–Russia Business Forum (scheduled for 4–5 December 2025) — includes expanding cooperation across trade, technology and investment, even amid global geopolitical turbulence.

Industry & Corporate

• Strong growth at TVS Motor Company — 30% jump in November sales
TVS Motor Company posted a robust 30% increase in overall sales in November 2025 compared to the same month last year. Notably, its two-wheeler sales rose 27%, scooters by 27%, and electric-vehicle (EV) sales surged 46%. Even the company’s international business saw a 58% jump — underlining strong demand both domestically and globally. Uni India

What to watch this week

• The RBI’s monetary policy decision — markets are pricing in a possible rate cut.

• Developments around supplementary demands — especially how and where additional expenditures are deployed.

• Trends in startup funding — whether the “large-cheque, fewer-deal” pattern continues, or we see a rebound in deal volume.

• Outcomes of the India–Russia Business Forum and potential announcements on trade or cooperation deals.

• Corporate performance updates for December (starting with companies like TVS) — early signals could shape sentiment across auto and manufacturing sectors.

December 1, 2025 signals a subtle shift in India’s economic and startup narrative. On one hand, traditional macro-economic levers — from fiscal outlays to interest-rate decisions — are once again center stage. On the other, India’s startup ecosystem seems to be entering a more mature phase: with bigger cheques, tighter cost management, and increased board-room discipline. For a market that’s historically thrived on volume and hype, this could spell stability — or cautious optimism. Either way, the foundations for 2026’s growth story might just be getting built today.