New Delhi: Demand slowdown is causing stress to Indian companies, suggests a report by credit rating agency Crisil's ‘State of the Nation.'
“What stresses nearly a quarter of the companies analysed is the demand slowdown. Two out of three sectors will see a decline in revenue growth,” the report said.
The report said a breakdown of the investment cycle will severely dent infrastructure, capital goods, automobiles and real estate sectors.
The report is based on a data on 2,481 companies that Crisil rates as investment grade; these account for 32 per cent of banks' corporate lending.
Rupee depreciation, however, is the least source of stress for 2,481 companies Crisil rates as investment-grade (BBB- and above). It affects only 6 per cent of them.
Rupee depreciation has increased India's currency competitiveness, said the report.
