Gujarat sees highest share of private investment in 2016-17: RBI

Date posted: Wednesday 13 September 2017

Gujarat accounted for the highest share in total cost of private corporate investment for financial year 2016-17, according to a study by the Reserve Bank of India (RBI).Gujarat made up 22.7 per cent of the aggregate investment, followed by Maharashtra at 8.6 per cent.Andhra Pradesh, which held the highest share at 12.3 per cent in FY16, saw its share drop to 8.2 per cent. The total cost of projects almost doubled to Rs.1,82,800 cr. in FY17, from Rs.91,800 cr. in FY16. The RBI estimates planned capital expenditure to amount to Rs.69,400 cr., in FY18, a slight improvement over the past year. An additional Rs.85,400 cr. worth of capex would have to come from new investment intentions to match the level estimated for FY17. Power sector projects occupied a big share in all the major states with the exception of Maharashtra and Tamil Nadu where the construction industry made up a majority of projects. Textiles and transport equipment and parts industries in Gujarat, cement and roads and bridges in Karnataka and pharmaceutical and drugs in Telangana also formed a major share of the projects financed by banks or financial institutions.

(Business Standard)

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