Govt spend on Housing for poor could have a cascading effect on economy and many sectors could benefit…
for example , apart from financing the housing projects , for construction of houses you would need cement and steel, pipes , plumbing , sanitary items etc and day labourers to build that who need to be paid. and these labourers with money in hand would buy FMCG, consumer durables.
Then follows electricity connection …then the house owners would tend to buy TV, refrigerator , air cooler , 2 wheeler …etc etc.
So indirectly , any kind of Public spend would finally result in pushing up the economy further.
Discl : Invested from lower level in hudco and other related companies and hence may be biased. not a buy sell recommendation. PSU companies are subject to change in govt policy and volatility in stock price. Qoq sequential growth may be lumpy at times
Please do your own assessment before investing
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