News Headlines
Driven By Investments In Manufacturing, Private Sector Capex In India Jumps By Over 145% In FY 2022
An automobile factory in India. (Manoj Patil/Hindustan Times via Getty Images)
Driven by new investments in manufacturing, capex by private sector in India saw a 145-150% increase in FY22, compared to FY21/FY20, according to a research report published by Goldman Sachs.
Manufacturing sector, which has been a laggard for multiple years, saw an increase of 210%-460% in FY22, compared to FY21/FY20, the report added.
While the increase was helped by mega project announcements (especially in the Steel sector), the overall number of projects announced across also saw a sharp increase by 80%-140% in FY22, compared to the previous two fiscals.
Contract awarding witnessed an overall increase of 55% year-on-year in FY22 with manufacturing sector recording an increase of 135% year on year.
Growth in awards in infrastructure has been decent as well, primarily driven by higher activity in the roads sector.
New tenders also saw an increase compared to FY20/21. However, compared to FY18/19 the overall tendering activity (which is primarily for Government orders) has been flattish, Goldman Sachs report noted
The flattish trend in tendering is seen as a pointer to lower levels of activity in the next few months from an award perspective.
Support Swarajya's 50 Ground Reports Project & Sponsor A Story
Every general election Swarajya does a 50 ground reports project.
Aimed only at serious readers and those who appreciate the nuances of political undercurrents, the project provides a sense of India's electoral landscape. As you know, these reports are produced after considerable investment of travel, time and effort on the ground.
This time too we've kicked off the project in style and have covered over 30 constituencies already. If you're someone who appreciates such work and have enjoyed our coverage please consider sponsoring a ground report for just Rs 2999 to Rs 19,999 - it goes a long way in helping us produce more quality reportage.
You can also back this project by becoming a subscriber for as little as Rs 999 - so do click on this links and choose a plan that suits you and back us.
Click below to contribute.
Latest
