Vinayak Chatterjee, chairman, Feedback Ventures hopes the FY13 Budget for infrastructure has incentives and tax breaks for this laggard to start performing again.
While the Sensex and the Nifty fell a little over 20% in 2011, infrastructure stocks--whether power or road contractors--fell by over 50%, in some cases even as much as 80%.
In an interview to CNBC-TV18, Vinayak Chatterjee, chairman of Feedback Ventures said, a variety of factors have hit the infrastructure sector. “One, many of them have built capacity in anticipation of much further growth in the sector. That growth has not yet happened. Second, paralysis in decision making is certainly impacting the sector.”
Infrastructure stocks have been bruised and battered post their third quarter numbers. According to Vinayak Chatterjee, chairman of infrastructure and engineering consultancy firm Feed Back Ventures, the sentiment has been affected by government issues like land acquisition.
In an interview with CNBC-TV18's Economic Policy Editor Siddharth Zarabi, Vinayak Chatterjee, Chairman of Feedback Ventures spoke on his expectations from the finance minister for the infrastructure sector from Budget 2011.