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.
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.
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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.
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