India Inc’s capex cycle may move into top gear

The capex tracker index of institutional research firm Avendus Spark shows a reading of 342 in June 2023 – the highest in more than 12 years. The index has been consistently rising since December 2020 – when it hit a low of 147. The index assigns weights to private capex announcement (35%), aggregate new order (15%), import of capital goods (10%), and central government capex and state capex (20% each).