Power, realty are bright spots amid capex gloom
mumbai, Oct. 22 -- While corporate India remains flush with capital, new investments are not keeping pace. The pattern of declining investments is well-known, with data from the Centre for Monitoring Indian Economy showing new investments shrank by 3% in FY24 before declining a further 5% in FY25.
This is mainly due to soft domestic demand and geopolitical uncertainty, said experts. The trend is also reflected in restrained spending on fixed assets as a proportion of revenue. According to a Mint analysis of 400 BSE-500 firms (excluding those in banking, financial services, and insurance), their spending on fixed assets (such as land, equipment, and plants)-a key measure of capital expenditure- has declined significantly since the pandemic. ...
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