Infra Monthly - Government Spending, Orders Picked Up Sharply In July: Systematix

Workers level a newly constructed stretch of road on the outskirts of New Delhi. (Photographer: Amit Bhargava/Bloomberg News).

Infra Monthly - Government Spending, Orders Picked Up Sharply In July: Systematix

BQ Blue’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer BloombergQuint’s subscribers an opportunity to expand their understanding of companies, sectors and the economy.

Systematix Research Report

This report is a monthly update on project tendering and awarding activity in the infrastructure space, high-frequency macro data and monthly government capex.

We assess the trends witnessed in July 2021 below.

Tendering activity in July 2021 was up 67% YoY, while trailing-twelve-months tenders were up 27% YoY on a low base.

In FY19, the average monthly run-rate of tender value was Rs 765 billion, which declined to around Rs 545 billion thereafter.

In comparison, July 2021 tenders were at Rs 665 billion (excluding-telecom).

The awarding activity in July 2021 was up 61% YoY as the base effect continued to benefit YoY comparisons.

On a trailing twelve months basis, awards were up 69% YoY but still weaker as compared to FY19.

Click on the attachment to read the full report:

Systematix Infra Monthly July 2021.pdf

DISCLAIMER

This report is authored by an external party. BloombergQuint does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of BloombergQuint.

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