Capital goods: Capex push likely in Union Budget to support growth

The Budget is expected to push public capital expenditure (capex) and simultaneously create a conducive environment for private capex.
 

This would mean raising allocations towards sectors such as defence, railways and renewable energy transmission projects, perking up the domestic capital goods industry, brokerages said.

“We expect a marginal increase in allocation for defence along with higher allocation for railway and railway electrification, SMART cities and water projects among others,” said Edelweiss Research.

Larsen & Toubro (L&T), KEC International, Thermax, ABB India, Cummins India and Apar Industries are some of the capital goods companies in the domestic market.

L&T will be