Morning Brief: IAF's Rs 10,000 Crore Spy Plane Project Nears Takeoff; Pakistan Exposed Yet Again For False Air Strike Claims; Over A Dozen Companies Line Up IPOs; And More

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IAF's Rs 10,000 Crore Spy Plane Project Nears Takeoff

The Indian Air Force will get three advanced ISTAR (Intelligence, Surveillance, Target Acquisition, and Reconnaissance) aircraft under a Rs 10,000 crore project aimed at boosting precision strike capabilities against enemy targets, ANI has reported. The proposal, featuring aircraft sourced through a global tender—possibly from Boeing or Bombardier—is expected to be taken up for approval in a high-level defence ministry meeting later this month, the report says

The aircraft will be equipped with fully indigenous onboard systems developed by DRDO’s Centre for Airborne Systems, enabling high-altitude, stand-off range surveillance and target detection. Designed for round-the-clock operations, the ISTAR system will help build a real-time common operating picture for Indian forces.

Pakistan Exposed Yet Again For False Air Strike Claims

Amid ongoing attempts by Pakistan to claim victories during Operation Sindoor, independent satellite imagery expert Damien Symon has debunked yet another assertions by Rawalpindi of strikes on Indian military targets. Pakistan had claimed it destroyed a Sukhoi-30MKI at Adampur airbase and struck an S-400 system in Bhuj, but Symon revealed the so-called evidence was based on outdated or misrepresented images, including a photo from March showing a MiG-29 undergoing routine maintenance.

Similarly, an image Pakistan circulated to show a destroyed S-400 radar at Bhuj was traced back to February and showed only oil stains at a vehicle yard. These revelations further expose Pakistan’s efforts to spread misinformation, including the use of doctored visuals, in the aftermath of India’s precision strikes at its airbases.

Over A Dozen Companies Line Up IPOs In Next 3-6 Months

After a slow start to 2025, the IPO market is showing signs of revival with over a dozen companies preparing to list in the next three to six months. Notable firms such as HDB Financial Services, National Securities Depository Ltd, Kalpataru, and Rubicon Research are among those gearing up to tap capital markets for expansion.

Despite only 16 IPOs so far in 2025 compared to 29 in the same period last year, experts expect stronger activity in the second half of the year as market confidence returns. With 65 companies already cleared by SEBI and another 65 awaiting approval, industry leaders anticipate robust investor appetite for well-priced public issues.

Other Developments

Pakistani Dams Near 'Dead Level' Amid Water Crisis

Amid a severe water crisis in Pakistan’s Indus basin, reservoir levels have dropped drastically, with flow from Punjab’s dams declining by nearly 15 per cent compared to last year. Key dams like Tarbela, Chashma, and Mangla are nearing critical “dead levels,” threatening irrigation and agricultural output, especially for the upcoming Kharif cropping season. The Chenab River’s flow at Marala has plummeted by nearly 90 percent in a week, intensifying the situation.

Islamabad blames India for deliberately restricting water flow from the western rivers—Indus, Jhelum, and Chenab—in violation of the Indus Waters Treaty (IWT). India maintains the treaty is effectively suspended due to national security concerns after the April Pahalgam terror attack and insists its water management steps are necessary to address decades of mismanagement. With an intense heatwave forecast to hit Pakistan soon, the crisis is expected to worsen further.

India Scrambles To Secure Rare Earth Magnets Amid China Export Cut

India is rushing to build new supply chains for rare earth magnets, essential for electric vehicle (EV) manufacturing, as China restricts exports. The government has started talks with Vietnam, Indonesia, Japan, the US, and Russia to secure supplies within 45 to 60 days, while also negotiating with China to regain access. Currently, India imports about 809 tonnes of these magnets, but supplies from China have been halted since mid-April and are expected to last only until the end of June.

To cope, India is considering allowing imports of complete assemblies instead of individual magnets, but this requires relaxing rules on domestic value addition tied to subsidies. Chinese authorities have rejected export requests from Indian companies despite export certificates being issued, putting EV production at risk and accelerating India’s push for alternative sources.

No Ban on Turkish Imports Yet, Despite Security Moves

India is taking a cautious approach in its dealings with Turkey, opting to limit Turkish involvement in critical infrastructure projects on national security grounds, while avoiding broader trade restrictions despite pressure from domestic industry groups. Apple-growers from Himachal Pradesh and marble industry stakeholders have urged a ban on Turkish imports, but the Government is reluctant to act, citing a $2.73 billion bilateral goods trade surplus that benefits Indian exporters.

While a ban could send a strong message, it may hurt India's export interests, particularly in industrial goods like engineering equipment, electronics, and chemicals. India’s concerns over Turkish entities have already led to the revocation of security clearance for Celebi Aviation and a notice to Turkish Airlines over alleged violations.

Banks Set To Cut Savings, Deposit Rates Again

Banks are likely to cut interest rates on savings accounts and fixed deposits again by 25-50 basis points to protect their profits, as more money is expected to flow into the system after the Reserve Bank of India (RBI) cut the repo rate by 50 basis points. Many private banks had already lowered savings and deposit rates in April and May, and experts say more cuts are likely, which could affect people who depend on interest income.

Since loans get cheaper faster than deposits, banks often reduce savings account rates first to manage their profit margins. Fixed deposit rates usually take longer to adjust.

Trump Deploys Troops Amid LA Immigration Protests

Amid ongoing protests in Los Angeles over recent immigration raids, President Trump has ordered the deployment of at least 2,000 National Guard troops to assist federal agents, marking a rare use of federal power to override California Governor Gavin Newsom’s authority. The protests, which entered their third day, saw clashes between law enforcement and demonstrators, with some incidents involving rubber bullets, flash-bang grenades, and fires set in the streets.

Governor Newsom criticised the move as “purposefully inflammatory,” accusing the federal government of seeking a spectacle rather than addressing a law enforcement shortage. The raids targeting illegal immigrants are part of a new phase in the Trump administration’s immigration crackdown, focusing more on workplaces, stirring tensions particularly in Latino communities.

From The States

Ayodhya Circle Rates Hiked For First Time Since Ram Temple Verdict

In Ayodhya, the circle rate for land has been increased by 200 per cent in areas near the Ram Janmabhoomi, effective from Monday (9 June). The decision, based on market rates and a survey, comes after no changes since 2017, despite increased land transactions post the 2019 Supreme Court ruling favouring the Ram Temple's construction.

In some villages, rates have risen from Rs 11-23 lakh per hectare to Rs 33-69 lakh per hectare, reflecting the area's growing market value. The hike, however, has sparked mixed reactions, with some farmers arguing it falls short of expectations and fails to benefit locals amidst Ayodhya's development.

Chirag Paswan To Contest Bihar Polls, Eyes Bigger Role In NDA

Lok Janshakti Party (Ram Vilas) chief and Union Minister Chirag Paswan on Sunday (8 June) confirmed his return to Bihar state politics, announcing at a rally that he will contest the upcoming Assembly elections. While dismissing suggestions of chief ministerial ambitions, Paswan said his candidacy is aimed at boosting the NDA’s strike rate. Addressing his supporters, he asserted that his party would contest "all 243 seats".

The announcement comes ahead of tricky seat-sharing talks within the NDA, where Paswan is demanding a larger share based on his party's strong 2024 performance. With the JD(U) in decline, the LJP (Ram Vilas) is now trying to expand its political base and influence beyond its traditional Paswan vote.

Ahead of the Bihar assembly elections, two key corruption cases involving RJD chief Lalu Yadav, his wife Rabri Devi, and son Tejashwi Yadav are nearing important decisions. A special CBI court is expected to deliver its verdict on framing charges in the IRCTC case by 23 July. Meanwhile, in the land-for-jobs case, the CBI will complete its arguments next month, after which the accused will present their defence.

Corruption Cases Against Lalu Yadav Near Verdicts Before Polls

Ahead of the Bihar assembly elections, two key corruption cases involving RJD chief Lalu Prasad Yadav, his wife Rabri Devi, and son Tejashwi Yadav are nearing important decisions. A special CBI court is expected to deliver its verdict on framing charges in the IRCTC case by 23 July. Meanwhile, in the land-for-jobs case, the CBI will complete its arguments next month, after which the accused will present their defence.

With Bihar assembly elections scheduled later this year, the opposition is already using ongoing corruption cases against Lalu Prasad Yadav and his family to target the RJD. The cases have revived fears of the "Jungle Raj".

You’re all caught up—until next time.