Corporate Profit Surge Fails to Spur Investment Growth, CEA Finds

Corporate Profit Surge Fails to Spur Investment Growth, CEA Finds

India’s top 500 companies have reported a substantial 30 percent increase in profits following the COVID-19 pandemic, yet this financial windfall has failed to translate into significant capital expenditure, according to recent findings from the Chief Economic Advisor (CEA). Despite robust balance sheets and improved margins, corporate investment remains stagnant, raising concerns among policymakers regarding…

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New Debt-to-GDP Fiscal Anchor Set to Unlock Public Infrastructure Investment

New Debt-to-GDP Fiscal Anchor Set to Unlock Public Infrastructure Investment

A New Fiscal Framework Government officials and economic policy analysts announced this week that a transition toward a new debt-to-GDP fiscal anchor will be implemented effective immediately, a move designed to provide the necessary legislative space for increased capital expenditure (capex). By recalibrating the nation’s primary debt management strategy, policymakers aim to prioritize long-term infrastructure…

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Government Maintains Capital Expenditure Momentum Amid Global Economic Headwinds

Government Maintains Capital Expenditure Momentum Amid Global Economic Headwinds

A senior Finance Ministry official confirmed this week that the government intends to maintain its aggressive capital expenditure (capex) push for the 2027 fiscal year, despite increasing fiscal pressures stemming from heightened global economic uncertainties. This strategic commitment aims to bolster domestic growth by prioritizing critical infrastructure sectors, including highways, railways, shipping, ports, and urban…

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