Report Summary INR 102 Lakh crore is the forecasted total project capital expenditure in the infrastructure sector in India during fiscal 2020 to 2025
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Curfews and lockdowns due to COVID 19 outbreak has impacted ongoing infra projects and government spending on relief measures may limit future infra spends
The COVID-19-led slowdown is likely to hurt the prospects of infrastructure players severely in Q1 2020. Companies, which were already feeling the heat on project execution and project closures, may face more uncertainties related to project completion, new project financing and future order flows.
Players in the engineering, procurement and construction (EPC), transmission and distribution (T&D), road construction and building segments are all seeing their projects' progress getting impacted with the Central and state governments' directives for lockdowns and curfews in India and SEA.
Due the coronavirus outbreak, the governments focus has turned for providing relief measures for which huge sum of funds have been allocated for providing the necessary equipment for tackling the situation which will further lead to limiting governments ability to fund future infrastructure projects. The dilemma caused due the corona pandemic is restraining the EPC and other market players from taking any big decisions pertaining to new project execution in such tough times meaning the downfall in growth of the infrastructure sector.
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