Positive Macro News for India!
Strong Govt capex spends for April-May'22 - Positive for Manufacturing Companies & Defence
Central Govt. Capex jumped 70% YoY to Rs. 1.1lac cr (highest since FY06) during 2MFY23, from Rs. 63000cr in 2MFY22. It is 14.3% of the full-year capex target of Rs. 7.5lac cr in FY23.
Govt. capex spend was focused on Defence (Rs. 90000cr in Apr-May’22 – up 34% YoY), Road transport and highways (Rs. 40400cr in Apr-May’22 – up 79% YoY), Railways (Rs. 50200cr in Apr-May’22 – up 157% YoY), Water Resources (Rs. 2000cr in Apr-May’22 – up 35.5% YoY) and Power (Rs. 1300cr in Apr-May’22 – up 128% YoY).