Shares of companies related to construction business zoomed up to 14 per cent on Monday after the Budget for 2021-22 enhanced the allocation for highways sector to ₹1.18 lakh crore.
NCC Limited jumped 13.75 per cent, Ashoka Buildcon gained 10.98 per cent, KNR Constructions 10.02 per cent and Dilip Buildcon 4.12 per cent on BSE.
Allocating an enhanced outlay of ₹1.18 lakh crore for the highways sector for 2021-22, Finance Minister Nirmala Sitharaman on Monday said the execution of flagship highways corridors as well as projects are bound to speed up.
An allocation of ₹91,823 crore was made to highways for 2020-21, which was revised to ₹1.01 lakh crore.
"I am... providing an enhanced outlay of ₹1,18,101 lakh crore for the Ministry of Road Transport and Highways, of which ₹1,08,230 crore is for capital, the highest ever," said Sitharaman in her Budget speech while tabling the Union Budget 2021-22 in Parliament.
"By March 2022, we would be awarding another 8,500 km and complete an additional 11,000 km of national highway corridors," she said.
"Rising to the occasion, taking steps to rebuild the economy and meeting market expectations, Budget FY 2021-2022 focused on pump priming the economy for growth.
"Some of the key highlights were spends on healthcare and wellness infrastructure; investments in physical infrastructure by way of allocation to roads, highways, railways, ports, urban infrastructure amongst others," Shanti Ekambaram, Group President - Consumer Banking, Kotak Mahindra Bank Ltd said.