New Delhi: Moody's Rating said on Tuesday that Indian companies will invest 45 to 50 billion dollars annually in capital expenditure in the next one to two years to increase capacity. Reliance Industries, the country's most valuable company, will have a 30 percent share in this expenditure. Moody's said in a report issued on companies active in India and Indonesia that investments will be made to increase production chain integration and achieve the target of net zero carbon emissions.

According to the report, 'In the next one to two years, the annual capital expenditure of rated Indian companies will be around $ 45 to $ 50 billion. Reliance Industries alone will have a 30 percent share in this. The company has earmarked about $ 15 billion for investment in various businesses.' According to this, the oil and gas sector and Reliance Industries together will collectively spend more than 60 percent of the total expenditure of Indian companies in one to two years.

Moody's said that India's GDP growth rate is expected to be more than six percent in the next two years. Domestic demand will play an important role in accelerating India's economic growth. Moody's Rating expects the earnings of rated Indian companies to grow by five percent in the next one to two years. Companies will benefit from broad growth in various sectors including metals, mining and steel, telecom and automobile companies.

The Indian economy is performing very well. GDP growth has been more than 8 percent in the last several quarters. However, to maintain this pace, special focus will be needed on consumption, employment and exports. The contribution of Indian companies is going to be very important in this. Especially, the role of Indian companies is going to be very important on the employment front.