PLI to drive capex in industrial sectors by 40-45 % in FY22: CRISIL report

India's GDP growth to be at 11 per cent in fiscal 2022, says report predicting two-phase economic recovery

Capital expenditure in industrial sectors is expected to rise 45-55 per cent in financial year 2021-22 as the economy gains from a government's scheme to boost productivity, said a report by Crisil Research on Tuesday.

The India Outlook Report expects gross domestic product (GDP) growth to be at 11 per cent in fiscal 2022, after an estimated 8 per cent contraction this fiscal. The next fiscal, like the current, will have a low base “optical” growth in the first half and a rebound in the second.

The capex rise in pharmaceuticals, chemicals, textiles, cement, auto and ancillary, metals and oil and gas