Report Wire - FY22: 93.7% rise in new manufacturing tasks, says Bank of Baroda examine

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FY22: 93.7% rise in new manufacturing tasks, says Bank of Baroda examine

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manufacturing projects, Bank of Baroda, manufacturing sector, Manufacturing industry, Business news, Indian express business news, Indian express, Indian express news, Current Affairs

New mission bulletins within the manufacturing sector have improved considerably to Rs 6.2 lakh crore in FY22, an increase of 93.75 per cent, as in opposition to Rs 3.2 lakh crore in FY20, a Bank of Baroda (BoB) examine has mentioned.

This was led by enchancment in equipment, chemical compounds and textiles. “Services and the construction sector still seem to be lagging from losses suffered during multiple waves of Covid-19 pandemic, with new project announcements running below their pre-pandemic levels,” the examine mentioned.

Sonal Badhan, economist, BoB mentioned, “In FY20, new projects announced in the manufacturing sector had fallen to 17.8%, but rose sharply to 38.3% in FY21 and rose further to 43.5% in FY22. FY22 print is the highest since FY05. This could be the case as the manufacturing sector was less hit by subsequent waves of Covid-19, compared with services sector.”

New tasks introduced by non-financial corporations — which incorporates manufacturing, mining, electrical energy, non-financial companies, and building & actual property — had jumped almost 7 occasions by FY09 to Rs 26.7 lakh crore from Rs 4.1 lakh crore in FY96, the report mentioned. New tasks introduced since then haven’t been in a position to cross this peak, despite the fact that that they had reached Rs 23.7 lakh crore by FY16. “Between FY17-FY20, cost of new projects announced had averaged Rs 17.5 lakh crore. New project announcements had fallen to Rs 8.4 lakh crore in FY21 but recovered to Rs 14.3 lakh crore in FY22. However, this print is still below the pre-pandemic (FY20) level of Rs 18 lakh crore and also below FY15/16 levels,” it mentioned.