New Delhi, Feb. 20 -- The infrastructure sector outlook in the country remains cautious after weak performance in the third quarter of FY26, which led to a contraction in growth, according to a report by Nuvama Research.

The report highlighted that weakness continued during the quarter due to multiple challenges, including eroding executable order books, payment issues, elongated monsoons, and construction bans, which impacted project execution and revenue growth.

It stated, "Weakness continues in Q3FY26. Eroding executable order book, payment issues, elongated monsoons and construction bans led to a 4 per cent YoY contraction... While the FY27 Budget has promised higher allocation, we remain cautious on the overall infra space".

Accor...