New Delhi/Bhubaneswar: India saw new investment announcements worth Rs 26.62 lakh crore in the first nine months of FY26, with Odisha bringing 13.1 per cent of such intents, taking the second spot after Andhra Pradesh (25.3 per cent), according to a new report Saturday.
The latest figure is significantly higher than Rs 23.88 lakh crore worth investment announcements witnessed in the same period last year, according to the report. This is on the back of a very positive policy package of the government which has focused on capex, lowering of income tax rates and GST 2.0, it added.
Infrastructure-led sectors dominated investment intentions, with the top five sectors accounting for nearly 80 per cent of total announcements. Electricity (22.6 per cent), led by renewables, emerged as the largest contributor. Chemicals (21.8 per cent) and metals (17.3 per cent) followed, highlighting strong capital goods and industrial investment, according to the Bank of Baroda report.
According to the report, consumer-oriented sectors remained marginal, contributing less than 3 per cent of total investment intentions, indicating that the current capex cycle is still largely supply-side driven.
“Investment activity was highly concentrated in Andhra Pradesh (25.3 per cent), followed by Odisha (13.1 per cent), Maharashtra (12.8 per cent), Telangana (9.5 per cent), and Gujarat (7.1 per cent). These five states together accounted for around 68 per cent of total proposed investments,” it pointed out.
Other notable states seeing meaningful investment interest included Tamil Nadu, Rajasthan, Chhattisgarh, Madhya Pradesh and Uttar Pradesh, suggesting gradual geographic broadening.
The report said, “The current investment uptrend is supported by government capex push, tax reforms, GST rationalisation, and easing interest rates, which have helped offset global trade headwinds.”
Going ahead, as consumption improves and capacity utilisation rises, investment is expected to become more broad-based, both across sectors and states, the report noted. Further, there has been a tendency for interest rates to also come down, which was to spur investment activity. Hence, the investment environment does appear to be positive in the present financial year, it added.