According to Goldman Sachs, a new investment cycle is on its way

Bol News  |  May 16, 2022

According to Goldman Sachs, the new investment cycle and ordering activity increased sharply in FY22, and the manufacturing sector, which has trailed for several years, increased 210 percent compared to 2020-21.

In comparison to 2019-20, the manufacturing sector increased by 460 percent in FY22.

Private-sector investment and CAPEX announcements increased by 145 percent year on year in FY22 and by 150 percent over FY20.

According to the report, while megaproject announcements, particularly in the steel sector, supported the increase, the number of projects announced climbed by 80 percent in FY22.

“The growth was contributed by both traditional sectors like petrochemicals, steel, cement, and automobiles, and new-age sectors like electronics, e-vehicles, data centers,” Goldman Sachs said in the report.

Contract awarding grew 55% on year in FY22, and the manufacturing sector saw an increase of almost 135% as against the previous fiscal. “Growth in awards for Infra has been decent as well, primarily driven by higher activity in the roads sector,” it said.

While tenders increased in FY21, it stated that as compared to FY19, overall tendering activity, which is mostly for government orders, has been “flattish,” indicating reduced levels of activity in the coming months from an award standpoint.

Indicators (including diesel, gasoline, power usage, container volumes, and railway freight) improved broadly in March compared to February and year on year.

“The relatively strong March data drove low-to-mid-single-digit on-year growth on average for 4QFY22, despite the impact of Omicron and a tough base — a positive for our cement, EPC (engineering-procurement-construction), and port companies,” the investment banking company said.

Engineering goods exports were $9.4 billion in February, up 33 percent year on year. According to the study, the monthly engineering goods exports data was included to help track the impact and development in manufacturing activities from different government programmes, including the production-linked incentive plan.

For the latest Business News Follow BOL News on Google News. Read more on Latest Business News on bolnews.com

--> Read More --> 6 hours ago QAR TO PKR: Today's Qatari Riyal to PKR rates on, May 16, 2022

KARACHI: The buying rate of 1 QAR to PKR is Rs 39.900...

6 hours ago GBP TO PKR: Today's British Pound to PKR rates on, May 16, 2022

KARACHI: The buying rate of 1 GBP to PKR is Rs 232.1...

7 hours ago TRY TO PKR: Today's Turkish Lira to PKR rates on, May 16, 2022

KARACHI: The buying rate of 1 TRY to PKR is Rs 12.387...

7 hours ago CAD TO PKR: Today's Canadian Dollar to PKR exchange rates on, May 16, 2022

KARACHI: The buying rate of 1 CAD to PKR is Rs 143.60...

7 hours ago Dogecoin TO PKR: Today's Dogecoin Price in Pakistan on, May 16, 2022

Dogecoin to PKR – The exchange rate for the Dogecoin (DOGE )...

7 hours ago OMR TO PKR: Today's Omani Riyal to PKR rates on, May 16, 2022

KARACHI: The buying rate of 1 OMR to PKR is Rs 393.00...

--> -->

Download BOL News App for latest news

General Rectangle – 300×250

More News

Disclaimer: Urduwire.com is only the source of Urdu Meta News (type of Google News) and display news on “as it is” based from leading Urdu news web based sources. If you are a general user or webmaster, and want to know how it works? Read More