Global investment bank Goldman Sachs has upgraded India’s equity market outlook to “overweight” from “neutral,” reversing its October 2024 downgrade.

The firm cited a sharp improvement in corporate earnings momentum and a raft of policy tailwinds that it said are set to bolster growth through 2026.

The brokerage has set a year-end 2026 target of 29,000 for the benchmark Nifty 50 index, implying a 14 percent upside from Friday’s close. The Nifty 50 has gained about 8.5 percent year-to-date, lagging several other emerging markets during what has been one of their strongest years in recent history.

Goldman’s analysts, led by Sunil Koul, said the “year-long earnings downgrade cycle” for Indian companies has now bottomed out, signaling the start of a recovery phase. In a note released after Indian market hours on Friday, the firm said India’s economic and policy environment has turned decisively supportive for corporate profitability.

Policy Tailwinds and Earnings Recovery

Goldman cited a mix of growth-supportive policies — including recent rate cuts by the Reserve Bank of India, liquidity easing, bank deregulation, reductions in the Goods and Services Tax (GST), and a slower pace of fiscal consolidation — as key enablers of economic expansion. These measures, the bank said, have begun to translate into stronger corporate performance across major sectors.

The firm noted that September-quarter results were largely better than expected, prompting analysts to revise earnings estimates upward in several industries. The recovery, Goldman said, is likely to be led by financials, consumer goods, automobiles, defense, oil marketing companies, and technology-driven telecom and internet businesses.

However, the report maintained a cautious stance on export-oriented sectors such as information technology, pharmaceuticals, industrials, and chemicals, where global demand uncertainty and slowing public capital expenditure could weigh on earnings.

Domestic Strength Offsets Foreign Outflows

Despite substantial foreign portfolio outflows — around $30 billion since the Nifty’s 2024 peak and another $17.4 billion so far in 2025 — Goldman believes domestic liquidity will continue to support the market. The firm pointed to record $70 billion in equity purchases by domestic institutions in 2025, buoyed by steady inflows from retail investors and systematic investment plans (SIPs).

The report also highlighted a structural shift in India’s investor base, where local participation has increasingly cushioned markets from the volatility of foreign fund flows. Goldman said that with India’s valuation premium to other emerging markets now significantly lower than in late 2024, the country’s relative expensiveness has become “defensible,” particularly given its superior earnings visibility and macro stability.

Amid rising global geopolitical and trade tensions, Goldman expects domestic resilience to remain India’s defining strength. It emphasized investment themes centered on self-sufficiency, a revival in mass consumption, and expansion of new-economy sectors such as digital infrastructure, clean energy, and defense manufacturing.

These areas are expected to offer high-growth opportunities at fair valuations, underpinned by strong domestic demand and supportive government initiatives.

Goldman’s move follows a similar upgrade by HSBC in late September, which also cited improving corporate earnings, robust policy momentum, and India’s growing insulation from global financial shocks as reasons for optimism.

Analysts say the back-to-back endorsements from major global banks mark a turning point in investor sentiment toward India, suggesting that the world’s fifth-largest economy could re-emerge as a top performer among emerging markets in 2026.

The Nigeria Deposit Insurance Corporation (NDIC) says it has significantly fortified its legal and regulatory framework to improve the liquidation of failed banks and ensure that individuals responsible for the collapse of financial institutions are held accountable.

In a statement issued on Sunday by its Head of Communication and Public Affairs, Hawwau Gambo, NDIC’s Managing Director, Mr. Thompson Sunday, said the enactment of the NDIC Act No. 30 of 2023 had strengthened the Corporation’s powers in bank resolution and liquidation, allowing it to move more swiftly and decisively in dealing with distressed institutions.

Sunday explained that the combined provisions of the new NDIC Act and the Banks and Other Financial Institutions Act (BOFIA) 2020 have enhanced the Corporation’s capacity to prosecute individuals found culpable in bank failures.

“The NDIC is now better positioned to prosecute parties at fault in bank failures, unlike in the past when insufficient legal provisions allowed such individuals to evade accountability,” he said.

He commended the National Assembly for bridging the long-standing gaps in the legal framework that had constrained the Corporation’s effectiveness for decades, and also praised the judiciary for its improved understanding and adjudication of deposit insurance cases.

“Through more informed adjudication of failed bank cases, judgments are now bringing real relief to depositors,” Sunday added.

Citing the case of Heritage Bank Limited, whose license was revoked by the Central Bank of Nigeria (CBN) in June 2024, Sunday said the NDIC’s new powers allowed for a faster recovery and distribution process.

“The Corporation’s ability to realize sufficient assets to declare a first round of liquidation dividends to the uninsured depositors within one year of the revocation of its license is due to the positive impact of the new legal framework,” he stated.

The NDIC began payment of N46.6 billion as the first tranche of liquidation dividends to depositors of the defunct Heritage Bank in April 2025. The payment, which started on April 25, targeted customers with account balances exceeding the insured limit of N5 million. The Corporation said the funds were recovered from the sale of Heritage Bank’s assets and the repayment of outstanding loans, describing the move as a “major step” in fully reimbursing all affected depositors.

Sunday also disclosed that the Corporation has seen a rise in out-of-court settlements with individuals and institutions under investigation for their roles in failed banks.

“With stronger legal backing, individuals now approach the Corporation to settle out of court—not necessarily because the law has caught up with them, but because they can see that the noose is tightening around those responsible for bank failures,” he said.

The NDIC chief reiterated the Corporation’s determination to continue leveraging its enhanced legal powers to safeguard depositors’ funds and uphold the integrity of Nigeria’s financial system.

“The Corporation will continue to work with stakeholders to ensure the effective discharge of its mandate and promote financial system stability,” he said.

The NDIC Act No. 30 of 2023, signed into law last year, expanded the Corporation’s statutory powers to include broader authority in investigating failed bank directors, recovering assets, and instituting criminal proceedings against those whose actions led to insolvency. It also clarified the Corporation’s role in collaboration with the CBN and the Ministry of Finance in the early resolution of troubled banks.

Analysts have described the new legal framework as one of the most consequential reforms in Nigeria’s banking regulatory history, coming at a time when the financial system faces growing pressure from non-performing loans, weakened liquidity, and governance failures in several institutions.

The NDIC’s move to strengthen accountability in the sector, they say, signals a shift toward more stringent enforcement against reckless bank management and a firmer commitment to protecting depositors from systemic shocks.

South African mobile telecoms operator Vodacom Group Ltd. reported a strong first-half performance on Monday, posting a nearly 33 percent jump in headline earnings per share (HEPS), buoyed by growth across its African markets even as profits in its home country slipped due to a major one-off cost.

The company, which is majority owned by Britain’s Vodafone Group Plc, said HEPS rose to 467 cents in the six months ended September 30, compared to 353 cents in the same period a year earlier. The figure includes a one-off payment to former employee Kenneth Makate, settling a 17-year legal dispute over Vodacom’s “Please Call Me” service, which allows users to send free call-back messages. The settlement amount was not disclosed, though SBG Securities estimated it at roughly 500 million rand ($28.9 million) based on Vodacom’s revised earnings outlook.

Vodacom, South Africa’s largest mobile operator by subscribers, had initially projected even stronger HEPS growth before revising its forecast last week following the settlement. Despite that, the company delivered a robust performance, with operating profit climbing 25.5 percent to 20.2 billion rand, thanks to higher earnings in all markets outside South Africa.

South Africa Struggles Amid Cost Pressures

The company’s home market, however, remained a weak spot. Operating profit in South Africa dropped 11 percent to 8.8 billion rand, reflecting both the impact of the legal payout and ongoing margin pressure. While service revenue in South Africa inched up 2.2 percent, this was largely driven by growth in contract and non-mobile services. Prepaid revenue continued to decline as consumers battled a tougher economic environment and rising living costs.

“You’ve got a consumer that’s more under pressure, but you’ve also got a lot more competitive competition in the prepaid segment,” Group CEO Shameel Joosub told Reuters.

To stabilize prepaid growth, Vodacom is rolling out larger data bundles at discounted rates and more competitive smartphone deals to attract and retain budget-conscious users. Joosub said the company is focused on “creating more value for customers” through bundled offers that combine mobile, data, and digital financial services.

Africa Drives Group Growth

Across the continent, Vodacom’s other markets provided the engine for profit expansion. Group service revenue surged 12.2 percent to 65.8 billion rand, led by continued momentum in Egypt, which has emerged as Vodacom’s fastest-growing market since it completed its acquisition of a controlling stake in Vodafone Egypt in 2022.

The company also recorded improved results from Kenya’s Safaricom Plc, in which it holds a significant stake, as well as from its operations in Tanzania, Mozambique, and the Democratic Republic of Congo. These markets benefited from rising mobile data usage and increased demand for digital financial services through M-Pesa, Africa’s leading mobile money platform jointly operated with Safaricom.

Egypt’s strong performance was particularly encouraging as the integration of Vodafone Egypt had exceeded expectations, delivering double-digit growth.

Balancing Growth and Investment

Vodacom’s expansion across Africa has come with growing capital commitments, especially in network modernization and 5G rollout. The company has been ramping up investment in high-speed connectivity and digital services to capture rising data demand in emerging markets.

Analysts say the strong performance outside South Africa highlights the group’s geographic diversification and resilience in a challenging macroeconomic environment marked by currency fluctuations and regulatory hurdles.

Still, the company faces persistent pressure in its home market, where economic stagnation, load-shedding, and intense price competition have limited growth prospects. The company acknowledged these headwinds but reiterates its commitment to continue to invest in its South African network to strengthen coverage and reliability.

As of early Monday trading, Vodacom’s shares were little changed on the Johannesburg Stock Exchange, with investors digesting the impact of the one-off payment against the backdrop of strong regional results.

The company’s first-half performance reinforces its strategy of betting on Africa’s high-growth markets to offset domestic headwinds — a balancing act that continues to define Vodacom’s evolution as one of the continent’s largest and most diversified telecom groups.