Shares Of NCC, KNR Construction, Other Infrastructure Companies See Uptick After Budget Announcements

NCC Ltd. jumped over 4% to reach Thursday's Intraday high of ₹93.45. KNR Construction saw a similar spike as the stock jumped over 5% to reach its intraday high of ₹253.50.

What Happened: Finance Minister Nirmala Sitharaman in her budget speech on Wednesday, identified infrastructure as one of the priorities of the budget. The minister increased investment outlay for infrastructure development — for the third year in a row — by 33% to ₹10 lakh crore. 

See Also: Nirmala Sitharaman Announces New Income Tax Slabs: See Where You Fall Now

The budget noted that the significant focus on the sector is to drive growth potential and job creation, and encourage private investment in the sector.

Sitharaman also announced extending the 50-year interest-free loan to state governments for one more year "to spur investment in infrastructure."

The government also plans to establish an Infrastructure Finance Secretariat to drive up private investment in infrastructure, including railways, roads, urban infrastructure, and power, which are predominantly dependent on public resources.

Price Action: Riding the positive outlook stemming from the several positive announcements from the budget, here is how the infra stocks traded in the afternoon hours on Wednesday.

KNR Construction was up 4.92% to trade at ₹252.90.

NCC was trading 4.24% higher at ₹93.35.

Shares of PNC Infratech were trading 3.64% higher at ₹346.25.

Ashoka Buldicon was up 0.32% to trade at ₹79.30.

Read Next: ITC Shoots Up 5% To Hit 52-Week High As Cigarette Stocks Pick Up Momentum After Initial Budget Scare

Market News and Data brought to you by Benzinga APIs

Don't miss a beat on the share market. Get real-time updates on top stock movers and trading ideas on Benzinga India Telegram channel.

Posted In: Trading IdeasBudget 2023government fundingInfrastructure Investmentsjob creationKNR ConstructionNCCNirmala Sitharaman