₹7 trillion each in FY22 and FY23 from ₹5.5 trillion in FY21, based on a demand ramp-up by end-FY22 and a further pick-up in FY23 with an economic recovery.
Ind-Ra expects leverage to start building in FY23 on account of a revival in capex, increased working capital demand due to a higher output, higher exports and commodity inflation. “Ind-Ra also estimates ₹2 trillion of primary investments in focus sectors linked to the performance-linked incentive scheme (PLI).
Most of this investment would be upfronted in FY22-FY23 so as to maximize the period for which the benefits could be availed by corporates.
This could further boost secondary investments. Overall, the bank credit growth to the corporate segment could be around 8% yoy in FY23," it said.Never miss a story!