CRISIL Research's analysis of capital investments across 22 large sectors shows that the slide in investments continues. 'We expect a 2% decline in the current fiscal. What's more worrying is that private investments - on skid row since the last couple of years - are expected to decline another ~8% this fiscal,' it said.

Utilisation rates in 10 out of 12 large industrial sectors are wallowing at 5-year lows causing new project announcements to dry up. Consequently, fresh investments (projects announced or awarded in past 1 year) are expected to account for a mere 20 per cent of total investments, it said.

'As a result, we believe that a meaningful recovery in capital investments will only be visible from fiscal 2017 - when expect to see a 7% increase,' it added.