Undeterred by global economic crisis, Indian firms mostly in steel and electrical equipment sectors, proposed investment of Rs 99,958 crore (Rs 999.58 billion) in January, official data shows.
On year-on-year basis, the increase in investment plans filed with the Department of Industrial Policy and Promotion (DIPP) in January was by 36 per cent.
Companies including GMR Industries, ABG Cement, Reliance Infrastructure, Bosh Automotive Electronics India and public sector Rashtriya Ispat Nigam submitted 259 Industrial Entrepreneurs Memoranda in January.
However, economists are sceptical about these figures. "I am not sure these intentions will change into final project proposals. To change intention investments into actuals, it is very difficult..." ICRIER Director Rajiv Kumar said.
Financial rating firm CRISIL's Chief Economist D K Joshi felt the translation of the investment intentions into real projects would depend on the global economy.
"These are only proposed investments. It is reflection of intentions. During the current economic scenario to change the intentions into actuals... it depends how the global downturn behaves in the coming months," Joshi said.