Overall though, the investment picture remains bleak. There are three key reasons for the sluggish investment scenario. One reason is the low level of capacity utilization at existing plants. The last round of the Order Books, Inventories and Capacity Utilisation Survey (OBICUS) showed that capacity utilization had declined by more than three percentage points to 71.2% in the June quarter compared to the preceding quarter. The second reason for the lack of fresh investments was the pile-up of bad loans, which has made banks wary of lending, and has made companies cautious about new projects. The third and related reason is the rise in stalled projects, which has acted as a fetter on the animal spirits of Indian industry.