New Delhi, Mar 18 (IANS): The revival of capex cycle in India is now broad-based with all its engines - namely, government, private corporate and housing - fired up, as per global brokerage Jefferies.

India's 8.4 per cent GDP growth in 3QFY24 shows the strong domestic economy driven by growth in manufacturing and construction sectors.

The Indian housing cycle is now in full bloom with double digit pricing and volume increases, the brokerage said.

“Government spending has done the heavy lifting over the last few years and is now ready to pass the baton to private corporates,” Jefferies added.

Private corporate spending uptick is also now visible in multiple data points. Rising power demand with peaking capacity is leading to planned capacity addition in the power sector.

On consumption trends, the brokerage said that the consumption story in India is relatively mixed, compared to the capex story.

“Premium-end consumption has continued to demonstrate strength well into FY24 with strong growth in premium housing, hospitality, travel, SUVs, jewellery etc. At the same time, certain mid-end segments are witnessing growth moderation with mixed trends in QSR and retail. Rural demand has seen some signs of recovery, but commentary is patchy,” Jefferies said.