Fresh Investment increased by 32 percent in Q1 FY18

The first quarter of FY18 saw announcement of 1,926 new projects entailing a total investment of Rs 2,90,426 crore (approx USD 45 billion). This indicates a growth of 32 percent on Q-o-Q basis.

Fresh investment from the public sector shot up by 50 percent and that of the private sector increased by six percent. Sector-wise, barring the Electricity sector, all other major sectors recorded a positive growth on Q-o-Q basis. The last quarter of FY17 had seen fall in fresh investment across all major sectors.

In all, 44 mega projects with investment of Rs 1,000 crore or more were announced in the first quarter of FY18. Public sector and private sector owned 22 projects each.

The first quarter saw a sharp increase in projects being stalled. In all, 226 projects worth Rs 1,80,262 crore were put on the back burner. These include a couple of mega steel projects, owned by those companies which were identified by RBI as large scale defaulters. Lenders were instructed to pursue bankruptcy proceedings.