New Delhi, March 4 -- Domestic credit rating agency ICRA remains bullish on India's capital goods sector, driven by strong capacity additions in the power sector, particularly in renewable energy and transmission & distribution. It also believes that the growing capacity expansion in data centers bodes well for domestic capital goods companies.

According to the agency, the power sector, a key end-user industry for the capital goods segment, is set to witness significant capital expenditure of approximately Rs.25 lakh crore over the next five years. This investment will be directed toward capacity additions in renewable and thermal power generation, strengthening the transmission & distribution network, and enhancing storage capacity.

Fu...