Page 37 - CII-ARTHA

MARCH 2026

Manufacturing and Power Lead In contrast, investment announcements in construction &

the Investment Pipeline real estate declined from Rs 1.6 lakh crore in
April–December 2024 to about Rs 1.0 lakh crore in the
corresponding period of 2025, representing a contraction
The sectoral composition of new private investment of around 38 per cent.
announcements suggests that the increase in FY26 so
far has been driven primarily by manufacturing and Overall, the sectoral pattern suggests that the pickup in
electricity, pointing to a renewed emphasis on industrial private investment announcements during FY26 so far has
capacity expansion and energy infrastructure. been driven primarily by manufacturing and electricity

During April–December 2025, manufacturing accounted projects, alongside a recovery in services sector investment.
for the largest share of private announcements at around
53 per cent, with project announcements rising to Rs 14.0
lakh crore from Rs 8.9 lakh crore in April–December Project Completions Indicate
2024, representing a growth of about 57 per cent. Improving Investment Execution

Investment announcements in the electricity sector also Data on completed private projects also indicate an
increased significantly, rising from Rs 4.8 lakh crore to improvement in project execution during FY26 so far.
Rs 6.9 lakh crore over the same period, an increase of During April to December 2025, the total value of
about 44 per cent. The sector accounted for around 26 completed private projects stood at Rs 2.5 lakh crore,
per cent of total private investment announcements higher than Rs 1.7 lakh crore recorded in the
during April–December 2025, reflecting ongoing corresponding period of the previous year, reflecting an
investment in power generation and related increase of about 47 per cent. This suggests that a part of
infrastructure to support rising industrial and economic the previously announced investment pipeline is
activity. gradually translating into realised capital formation.

The non-financial services sector witnessed an even The sectoral composition of completed projects
sharper increase, with project announcements rising indicates that manufacturing and services accounted for
from Rs 1.5 lakh crore in the previous year to Rs 4.4 lakh the largest shares. Completed manufacturing projects
crore in the current year, implying a growth of nearly 193
per cent. As a result, the share of services in total private amounted to Rs 0.8 lakh crore during April to December
investment announcements increased to around 17 per 2025, compared with Rs 0.6 lakh crore in the same
cent, indicating a recovery in investment activity in period of the previous year, accounting for around 32 per
service-oriented sectors. cent of total completions. Completions in non-financial

New Private Project Announcements (Rs lakh crore) Completed Private Projects (Rs lakh crore)

30.0 3.0
26.3
2.5
25.0 2.5
6.9 1.9 2.0 0.3
20.0 18.2 18.8 16.9 1.0 2.0 0.4 1.7 0.5

15.0 4.5 5.6 4.8 4.4 1.5 0.4 0.3 0.5
0.3
0.9 0.9 0.8
10.0 4.8 1.6 14.0 1.0 0.7 0.3
1.5
0.3 0.3
5.0 12.1 7.4 8.9 0.5
0.6 0.6 0.6 0.8
0.0 0.0
Apr-Dec Apr-Dec Apr-Dec Apr-Dec Apr-Dec Apr-Dec Apr-Dec Apr-Dec
2022 2023 2024 2025 2022 2023 2024 2025

Electricity Construction & Real Estate Construction & Real Estate Electricity Mining
Services (Non-Financial) Manufacturing Total Services (Non-financial) Manufacturing Total

Source: CII research based on CMIE Capex Database Source: CII research based on CMIE Capex Database

37