look news india
Mumbai: According to S&P Global Ratings, big industrial groups including Adani, Tata, Reliance are planning to invest $ 800 billion in the next decade. It was also said that the proposed figure of $800 billion is three times the investment made by the country's major industrial groups in the last ten years.
About 40 percent of the $800 billion investment is expected to be spent on scaling up production in new emerging sectors such as green water, clean energy, semiconductors and electric vehicles.
The rating agency warns that there are vast opportunities for investment but there are also risks involved.
Companies face risks associated with the implementation of projects. Green hydrogen requires large-scale capital investment while returns on investment are uncertain.
As debt levels behind new projects increase, companies will need to continue to focus on their core business to maintain stability in their credit profiles.
S&P also noted that any failure to meet performance expectations during the investment phase could jeopardize the companies' credit profile.
Meanwhile, in another report, S&P said that the country's aviation sector will need funding of $ 170 billion by 2030. These funds will be required to purchase aircraft and increase airport capacity. India is one of the fastest growing aviation markets in the world. Domestic air traffic is expected to double to 300 million by 2030.