WINNERS
Transport infrastructure: Finance Minister Nirmala Sitharaman unveiled plans for India's highways and railways, proposing 1.7 trillion rupees (S$32.5 billion) for transport infrastructure that includes the accelerated development of highways and plans to monetise 12 lots of highway bundles.
Key infrastructure players such as Larsen & Toubro look set to benefit.
Electronics manufacturing: The government's plan to encourage the manufacture of mobile phones and electronic equipment, semiconductors as well as medical devices will be positive for companies such as Dixon Technologies, Amber Enterprises and Subros, said head of institutional equities Vinay Pandit at IndiaNivesh.
Rural India: The farm and rural sectors are allocated 2.83 trillion rupees, while the agriculture credit target for next year is set at 15 trillion rupees.
Water: Ms Sitharaman announced measures to support farm sector growth in water-stressed districts, helping to boost the shares of VA Tech Wabag, which designs and builds water and sewage treatment plants.
Telcos: The government is further developing Bharat Net, a programme to bring broadband to villages.
Online educators: The sector will receive 993 billion rupees in 2020-21.
IT firms: The announcement of a policy to allow the private sector to build data centre parks has the potential to benefit all IT firms, including TCS and Infosys, along with mid-sized companies like LTI.
Pipeline and gas suppliers: India plans to expand its national gas grid to 27,000km from 16,200km.
LOSERS
Insurance: The government's plan to sell a stake in Life Insurance Corp triggered declines in the shares of private insurers.
State-run banks: The minister stayed silent on infusing new capital into state-run banks for 2020-21. If the government does not inject fresh capital, it would be the first under Prime Minister Narendra Modi's five years in power.
Logistics players: The delay in the country's long-awaited National Logistics Policy will be a disappointment for key players, such as Blue Dart, that have been waiting several years for the announcement.
BLOOMBERG
