Can India Inc strong balance sheets nudge investments?
2 years, 6 months ago

Can India Inc strong balance sheets nudge investments?

Live Mint  

When the pandemic threw challenges early on, India Inc. turned into balance sheet repair mode, pouncing on low interest rates and surplus liquidity. “In a low interest rate regime, this capex rebound could partly be the reason for these companies to increase debt levels to finance some of the capex." The reasons could vary: for instance, the power sector saw increased investment, while auto faced higher working capital requirements, said Rajani Sinha, chief economist at CareEdge. Better credit profiles In an effort to deleverage balance sheets, companies’ ability to service debt has only improved on the back of healthy operating profits.

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Coalition crutches could cramp reform chase, say Moody’s, Fitch

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It’s a good time to invest in Indian equity, says HDFC AMC’s Prashant Jain
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