Private sector firms could turn big spenders, soon
Reliance Industries will dominate the mix with a large investment programme across oil-tochemical, new energy and digital services businesses, the report said. Bharti Airtel, the second largest private investor, will spend huge sums on 5G roll...
Growing infrastructure spend, government’s production-linked incentive (PLI) schemes, and healthier corporate and bank balance sheets, among other factors, will drive private sector capex over the medium term, according to a Fitch report released on Tuesday.
Reliance Industries will dominate the mix with a large investment programme across oil-tochemical, new energy and digital services businesses, the report said.
Bharti Airtel, the second largest private investor, will spend huge sums on 5G rollout. The ratings agency said corporates rated by it will see a 10%-12% rise in capex in FY23 and FY24, even as it cautioned there were risks to this revival.
Key drivers of capex growth
Structural demand visibility
Growing infrastructure spend
Production-linked incentive schemes of govt
Healthy corporate and bank balance sheets
A Improved manufacturing activity and sustained growth in new orders
