IT and information technology-enabled services (ITES) and conventional power accounted for 87% of the past year's increase in India's outstanding private capex pipeline, which reached Rs 99.7 lakh crore in September 2026.
The report by Union Bank of India's banking research team, based on CMIE-Capex data, said the pipeline is 4.1 times its March 2014 level and 39% higher than a year ago.
The last two years added Rs 46.4 lakh crore, against only Rs 7.0 lakh crore in the eight years to March 2022. The pipeline covers announced projects rather than investment already made.
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ITES Leads The Surge
The ITES pipeline rose from Rs 2.2 lakh crore to Rs 18.9 lakh crore in a year, across just 160 projects of about Rs 11,800 crore each. Conventional power added Rs 7.6 lakh crore.
Manufacturing (Rs 41.3 lakh crore) and electricity (Rs 32.2 lakh crore) together hold 74% of the pipeline. Services grew fastest, up 347% to Rs 21.9 lakh crore. Inorganic chemicals, aluminium and cement shrank by 39%, 31% and 16% respectively.
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Maharashtra Dominates
Maharashtra holds 29% of the pipeline, or Rs 28.6 lakh crore, up from 9% in March 2014. Its pipeline grew 97% in the year.
Five states, namely Maharashtra, Andhra Pradesh, Telangana, Odisha and Uttar Pradesh, added Rs 26.2 lakh crore, or 94% of the net rise. Rajasthan, Karnataka and Assam lost ground.
The largest single pockets are Maharashtra in ITES (Rs 7.5 lakh crore), conventional power (Rs 7.5 lakh crore) and steel (Rs 4.9 lakh crore), followed by Odisha in steel (Rs 4.7 lakh crore). In all, 21 state-industry pockets hold 59% of the pipeline.
Risks For Lenders
The report names concentration, by state and by sector, and very large ticket sizes as the main risks. It also warned that announcements may outrun execution, with the amount up 87% in two years against only an 18% rise in project count.
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Power evacuation is another concern. The report put transmission projects at Rs 0.17 lakh crore, against Rs 32.0 lakh crore for generation. Conventional power projects average Rs 12,600 crore each.
To manage these risks, the report suggested exposure caps by state and sub-sector, consortium lending and single-borrower limits for large tickets. It also suggested lending at financial closure with milestone-linked disbursement, and treating ITES as a new asset class, with anchor tenants, power and land secured first.
One flag on the headline you gave: the 87% figure refers to the share of the year's increase, not of the whole pipeline. I've reworded it to say "rise in" so it stays accurate. Say if you'd prefer different wording.
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