INTERNATIONAL JOURNAL OF RESEARCH AND INNOVATION IN APPLIED SCIENCE (IJRIAS)
ISSN No. 2454-6194 | DOI: 10.51584/IJRIAS |Volume X Issue XI November 2025
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Analysis of Impact of GST Announcements on Indian Stock Market
Dr. G. Indhumathi
Associate Professor, Department of Commerce, Mother Teresa Women’s University, Kodaikanal,
Tamilnadu
DOI: https://dx.doi.org/10.51584/IJRIAS.2025.101100066
Received: 06 December 2025; Accepted: 12 December 2025; Published: 16 December 2025
ABSTRACT
The Goods and Services Tax (GST) implemented in India in July 2017 has had a significant impact on various
sectors of the economy, including the stock market. The research problems regarding the impact of GST on the
Indian stock market would include the following key aspects: Volatility in Stock Prices: How has GST affected
the volatility of stock prices in the Indian stock market and Sector-wise Impact: Which sectors, such as FMCG,
IT, or Banking, have been most affected by GST, and how have their stock prices responded. The present study
analysed the impact of GST announcement on share prices was examined over the 21-day window period, i.e.,
10 days before and 10 days after the GST Council Meeting is considered. The Mean Adjusted Model, Market
Model and Market Adjusted Model were used for estimating the expected returns, Average Abnormal Returns
(AAR) and Cumulative Average Abnormal Returns (CAAR) and T-Test for sample companies. The study
results imply that investors in different sectors have different expectations of the GST while investing in the
stock market. The automobile industry in India didn’t give significant returns in the event window. This may
be because the GST rollout positively affected consumer attitudes, as they expected a fall in prices.
Keywords: GST, Market Adjusted Model, Abnormal Return
INTRODUCTION
GST was first introduced in India in the Budget Speech presented on 28
th
February 2006. It laid the foundation
for a complete reform of India’s indirect tax system. Finally implemented on 1
st
July 2017 as the Goods and
Services Tax Act, the indirect taxation system thus went through a chain of amendments since its inception.
With this tax reform, GST replaced multiple indirect taxes that were levied on different goods and services.
The Central Board of Indirect Taxes and Customs (CBIC) is the regulatory body governing all changes and
amendments regarding this tax.
GST is levied on the final market price of goods and services manufactured internally, thereby reflecting the
maximum retail price. Customers are required to pay this tax on a purchase of goods or services as an inclusion
in their final price. Collected by the seller, it is then required to be paid to the government, thus implying the
indirect incidence.
India adopted a dual GST model, meaning that taxation is administered by both the Union and state
governments. Transactions made within a single state are levied with Central GST (CGST) by the Central
Government and State GST (SGST) by the State governments. For inter-state transactions and imported goods
or services, an Integrated GST (IGST) is levied by the Central Government. GST is a consumption-based
tax/destination-based tax, therefore, taxes are paid by the state where the goods or services are consumed not
the state in which they were produced. IGST complicates tax collection for State Governments by disabling
them from collecting the tax owed to them directly from the Central Government. Under the previous system, a
state would only have to deal with a single government in order to collect tax revenue.
INTERNATIONAL JOURNAL OF RESEARCH AND INNOVATION IN APPLIED SCIENCE (IJRIAS)
ISSN No. 2454-6194 | DOI: 10.51584/IJRIAS |Volume X Issue XI November 2025
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REVIEW OF LITERATURE
A paper on “Impact of Implementation of GST on Indian Stock Market: A Study with reference to companies
of selected industries” done by Kushalappa. S (2020) study is conducted to find out the impact of
implementation of GST on Indian stock market. Goods and Services Tax (GST) in India is proposed to be the
maiden reform (and not an amendment) in the existing indirect taxation structure. The proposed reform through
introduction of GST would bring about a change in the legal provisions for imposing duty/tax liability in stages
of manufacture, sale (interstate/intra-state) of goods, rendering of services and shall stand replaced with the
place of supply, where the final consumption/enjoyment and use of goods/services were made. It is found from
the study that none of the abnormal returns under Automobile Industry are significant. It indicates that the GST
implementation had no significant impact of the stock price movement of the Automobile Companies.
Monika chhatwani and Pradeep Asthana(2023) in their research paper on “A study of impact of GST on
Indian Economy” analysed the impact of GST on the Indian economy. The study was found that the
implementation of Goods and Services Tax (GST) in India has had both positive and negative impacts on the
Indian economy. On the positive side, GST has led to an increase in tax revenue collection, an expansion of the
taxpayer base, and improvements in the ease of doing business. Despite the positive impacts, challenges such
as complexity in the compliance process and difficulties in claiming input tax credits hinder the effective
implementation of GST. It is recommended that the GST Council addresses the concerns of small and medium-
sized businesses, simplifies the compliance process, and makes necessary changes in the GST rate structure to
ensure clarity and equality.
Abhay Singh, Chauhana Sanjeev Gupta B, S.K. Singh (2023) in their research paper on “Impact of GST on
Stock Indices in India” found that the paired sample statistic is being found that the mean number of sectoral
indices of NSE and BSE for pre GST was less than the mean number of after GST. It was concluded that stock
indices of pre GST does not affect significantly than the stock indices of post GST. The significant 2-tailed
value of all the 10 pairs were came out to be less than 5% thereby concluding that there is statistically
significant difference between BSE and NSE sectoral indices of pre and post GST.
Rakesh Shahani and Bhavya Vashisth (2023) in their research paper on “Impact of macroeconomic variables
on India’s stock market: a Dynamic OLS approach” made an attempt to investigate the impact of India's
macro-economic variables on the India's flagship Stock Index: the NSE Nifty. The variables included were
money supply, industrial production, rupee – dollar exchange rates, Oil Prices and Yield on Government
Bonds.
Ruhee Mittal, Priyanka Kaushik Sharma and Manya(2023) in their research paper on “Impact of
macroeconomic indicators on Indian stock market” analysed the relationship between independent variables-
macroeconomic indicators- exchange rate, wholesale price index, Index of Industrial Production, Foreign
Portfolio Investments, Crude Oil Prices, and dependent variables- Stock Market Indices- Nifty 50 and Sensex.
Unit root test, co-integration test and error correction model were used to describe how all the variables behave
in the short run as well as in long-run. The study was concluded only crude oil, out of the independent
macroeconomic factors chosen, significantly affects just one stock index, the NSE Nifty 50. Neither the NSE
Nifty 50 nor the BSE Sensex was affected by the other independent variables, such as exchange rates, foreign
portfolio investments, the index of industrial production, or the wholesale price index.
Swati Dayanand Kamat and Swati Sen (2024) in their research paper “Accelerating Market Dynamics: The
impact of GST on stock prices profitability of Leading Automobile Companies” explored the influence of the
GST on the automobile industry. The study encompassed a comparable period of 7 years of before and after
GST data and ran paired tests to reach to a conclusion. It was seen that the net profit growth was largely
unaffected because of GST. The stock price volatility also did not show any variations that can be captured by
significant value in the paired tests except for TVS motors in which the test showed a significant difference
between the means of pre-GST and post-GST. The overall conclusion of this study is that the advent of a new
and major tax overhaul had no significant impact on the automobile industry.
INTERNATIONAL JOURNAL OF RESEARCH AND INNOVATION IN APPLIED SCIENCE (IJRIAS)
ISSN No. 2454-6194 | DOI: 10.51584/IJRIAS |Volume X Issue XI November 2025
Page 714
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Raviteja Kancharla, Chandrabhanu Das, Neeraj Kumar, Ujjawal Sawarn and Anjali Rai (2024) in their
article on “Impact of Goods and Service Tax Implementation on Sector Indices of Indian Stock Market: An
Event Study Analysis” suggested a novel method, using the Event Study Methodology, to document the
various phases of the GST rollout and assess the cumulative anomalous returns and systematic risk connected
with the events surrounding the GST bill in India from 2012 to 2017. Through a thorough analysis of these
phases, the research seeks to evaluate the importance of the GST bill’s implementation process at each stage
and comprehend investor expectations for the reform’s results. The results will help clarify the significance of
the GST implementation in India and its effects on various economic sectors.
Objectives of the Study
The study aims to analyze the impact of GST announcement in the share prices of companies listed in BSE
Sensex and NSE Nifty indices and to provide recommendations for investors, policymakers, and stakeholders.
METHODOLOGY OF STUDY
To analyze the impact of GST (revision of GST rates) announcements during the year 2024 on the share prices
of companies listed in BSE Sensex and NSE Nifty indices. The companies were classified on the basis of
industry wise to calculate Cumulative Abnormal Return and select the industries having more than three
companies to get the justified Average AR. The recent past GST Council Meeting was held on 09.09.2024
taken as event day. The impact of GST announcement on share prices was examined over the 21-day window
period, i.e., 10 days before and 10 days after the GST Council Meeting is considered. The Mean Adjusted
Model, Market Model and Market Adjusted Model were used for estimating the expected returns, Average
Abnormal Returns (AAR) and Cumulative Average Abnormal Returns (CAAR) and T-Test for sample
companies. The following is the list of industries with number of sample companies listed with respect to their
industry.
RESULTS AND DISCUSSION
Table 1 – List of Industries with No. of Sample Companies listed in BSE Sensex and NSE Nifty
Industry
No. of Companies
I
BSE Sensex
1
Consumer Discretionary
6
2
Fast moving consumer Goods
3
3
Financial services
8
4
Information Technology
4
II
NSE Nifty
1
Automobile and auto components
6
2
Fast Moving Consumer Goods
5
3
Financial Services
11
4
Metals & Mining
4
5
Healthcare
4
6
Information Technology
5
7
Oil Gas & Consumable Fuels
4
Source: www.bseindia.com, www.nseindia.com
I. Automobile and Auto Components Industry
Table 2 shows the results obtained by computing the AAR and CAAR based on Mean Adjusted Model,
Market Model and Market Adjusted Return Model for six companies in Automobile and auto components
industry listed at BSE before and after GST Announcement in September 2024. The event day generated an
AAR of -0.345, -0.349 and -0.223 under MAM, MM and MARM models respectively which was not
INTERNATIONAL JOURNAL OF RESEARCH AND INNOVATION IN APPLIED SCIENCE (IJRIAS)
ISSN No. 2454-6194 | DOI: 10.51584/IJRIAS |Volume X Issue XI November 2025
Page 715
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significant at 1% and 5% levels. The AAR before announcement period from – 10 day to – 1 day are positive
for -2,-3.-6, -7 and -8 day out of 10 day and are negative for the remaining 6 days under MAM, MM and
MARM models respectively. The AAR are significant at 5% level consisting of positive returns on day –10
under MAM during the pre-announcement period which was significant at 1% level consisting of positive
returns on day –1 under MAM .
During the post event period there was no consistent pattern in the AAR it was negative for 1, 2,3,4,9, and 10
days under MAM, MM and MARM models respectively out of 10 day and is positive for remaining days. It
reveals that the investors have a chance to earn abnormal returns due to the event. Absence of statistical
significance shows that among the companies studied no much of variations had occurred.
Table 2– Analysis of AAR and CAAR for Automobile and Auto Components Industry listed in NSE before
and after GST Meeting held on 9
th
September 2024
Day
MAM
MM
MARM
AAR
CAAR
T-Stat
AAR
CAAR
T-Stat
AAR
CAAR
T-Stat
-10
-0.640
-0.640
-2.144
-0.640**
-0.640
-2.688
-0.103
-0.103
-0.297
-9
-0.012
-0.652
-0.024
-0.020
-0.660
-0.044
-0.201
-0.303
-0.443
-8
0.578
-0.074
1.178
0.572
-0.088
1.322
0.499
0.196
1.134
-7
0.225
0.151
0.259
0.221
0.133
0.225
0.405
0.601
0.411
-6
-0.011
0.140
-0.027
-0.015
0.118
-0.052
0.106
0.706
0.331
-5
-0.443
-0.303
-0.803
-0.450
-0.332
-1.079
-0.491
0.215
-1.162
-4
-0.260
-0.563
-0.939
-0.268
-0.600
-0.964
-0.473
-0.258
-1.672
-3
0.210
-0.353
0.342
0.198
-0.402
0.381
-0.328
-0.586
-0.515
-2
0.639
0.286
0.520
0.628
0.226
0.563
0.209
-0.377
0.172
-1
-0.020
0.267
-0.067
-0.042
0.184
-0.069
-1.402*
-1.779
-5.822
0
-0.345
-0.078
-1.311
-0.349
-0.165
-1.808
-0.223
-2.002
-1.290
+1
0.178
0.100
0.358
0.174
0.010
0.337
0.380
-1.622
0.838
+2
0.090
0.190
0.069
0.076
0.085
0.073
-0.617
-2.239
-0.542
S +3
0.015
0.205
0.028
0.029
0.114
0.089
1.686**
-0.554
3.350
+4
0.140
0.345
0.710
0.130
0.244
0.415
-0.205
-0.759
-0.696
+5
-0.058
0.287
-0.254
-0.065
0.179
-0.207
-0.168
-0.927
-0.570
+6
-0.175
0.112
-0.304
-0.181
-0.002
-0.419
-0.255
-1.182
-0.601
+7
-0.562
-0.449
-1.355
-0.572
-0.574
-1.034
-0.941
-2.122
-2.062
+8
-0.153
-0.603
-0.277
-0.160
-0.734
-0.258
-0.220
-2.342
-0.361
+9
0.140
-0.463
0.155
0.149
-0.585
0.265
1.398
-0.944
1.570
+10
0.587
0.124
0.735
0.585
0.000
0.893
0.944
0.000
1.414
Source: Secondary Data * Significant at 1% level ** Significant at 5% level
II. Fast Moving Consumer Goods Industry
Table 3 shows the results obtained by computing the AAR and CAAR for five companies in Fast Moving
Consumer Goods industry listed at BSE before and after GST Announcement in September 2024. The event
day generated an AAR of 0.801, 0.974 and 0.999 under MAM, MM and MARM models respectively which
was not significant at 1% and 5% levels. The AAR before announcement period from – 10 day to – 1 day are
positive for -1, -2,-3,-4,-5,-7 day out of 10 day and are negative for the remaining 6 days under MAM, MM and
MARM models respectively. During the post event period there was no consistent pattern in the AAR it was
negative for 1,2,3,8, 9 and 10 days. AAR after the announcement day is statistically significant at 5% for day
+3 and under MAM at 1%. It reveals that the investors have a chance to earn abnormal returns due to the event.
INTERNATIONAL JOURNAL OF RESEARCH AND INNOVATION IN APPLIED SCIENCE (IJRIAS)
ISSN No. 2454-6194 | DOI: 10.51584/IJRIAS |Volume X Issue XI November 2025
Page 716
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Table 3 – Analysis of AAR and CAAR for Fast Moving Consumer Goods Industry listed in NSE before and
after GST Meeting held on 9
th
September 2024
Day
MAM
MM
MARM
AAR
CAAR
T-Stat
AAR
CAAR
T-Stat
AAR
CAAR
T-Stat
-10
-0.774
-0.774
-1.463
-0.269
-0.269
-0.621
-0.160
-0.160
-0.306
-9
-0.383
-1.157
-1.205
-0.458
-0.727
-1.876
-0.495
-0.655
-1.768
-8
-0.739
-1.896
-2.545
-0.727
-1.454
-2.247
-0.742
-1.397
-2.178
-7
0.006
-1.890
0.011
0.225
-1.229
0.474
0.262
-1.134
0.527
-6
-0.769
-2.659
-2.041
-0.601
-1.830
-2.185
-0.576
-1.710
-1.885
-5
0.057
-2.602
0.163
0.094
-1.736
0.265
0.086
-1.624
0.245
-4
0.543
-2.059
2.073
0.448
-1.288
1.772
0.406
-1.218
1.333
-3
0.808
-1.250
0.528
0.453
-0.834
0.318
0.346
-0.872
0.232
-2
1.194
-0.057
0.976
0.925
0.091
0.781
0.840
-0.032
0.649
-1
0.709
0.652
1.284
-0.321
-0.230
-0.436
-0.597
-0.628
-1.013
0
0.801*
1.453
3.870
0.974*
0.744
4.456
0.999*
0.371
4.460
+1
-0.164
1.289
-0.518
0.073
0.817
0.332
0.115
0.485
0.417
+2
0.307
1.596
1.208
-0.183
0.634
-0.505
-0.324
0.161
-1.623
+3
-1.489**
0.107
-2.833
-0.079
0.555
-0.322
0.258
0.419
0.507
+4
-0.389
-0.282
-1.048
-0.589
-0.035
-1.493
-0.658
-0.238
-1.957
+5
-0.079
-0.361
-0.227
-0.091
-0.126
-0.236
-0.112
-0.351
-0.291
+6
-0.030
-0.392
-0.137
-0.019
-0.145
-0.109
-0.034
-0.385
-0.201
+7
-0.195
-0.587
-0.297
-0.422
-0.568
-0.682
-0.497
-0.882
-0.850
+8
0.600
0.013
2.028
0.622
0.054
2.339
0.610
-0.273
2.304
+9
-1.210
-1.197
-1.644
-0.129
-0.075
-0.271
0.125
-0.147
0.188
+10
-0.286
-1.483
-1.061
0.075
0.000
0.211
0.147
0.000
0.498
Source: Secondary Data * Significant at 1% level ** Significant at 5% level
III. Financial Services Industry
Table 4 shows the results obtained by computing the AAR and CAAR for elven companies listed in Financial
Services industry before and after GST Announcement. The event day generated an AAR of -0.031, -0.042 and
-0.003 under MAM, MM and MARM models respectively which was not significant at 1 % and 5% levels. The
AAR before announcement period from – 10 day to – 1 day are positive for -1,-2,-4,-5,-6, and -9 day out of 10
day and are negative for the remaining 6 days. The AAR is significant at 5% level consisting of positive returns
on day-5,-4,-1 –9 under MAM and day –9 under MAM and MM and day -5 under MM AND MARM during
the pre-announcement period which was significant at 1% level. During the post event period there was no
consistent pattern in the AAR it was negative for 2,3,4,6,7,8,9, and 10 days out of 10 day and is positive for
remaining days. AAR after the announcement day is statistically significant at 5% for day +3, +9 under MAM
and at 1%. It reveals that the investors have a chance to earn abnormal returns due to the event.
Table 4 – Analysis of AAR and CAAR for Financial Services Industry listed in NSE before and after GST
Meeting held on 9
th
September 2024
Day
MAM
MM
MARM
AAR
CAAR
T-Stat
AAR
CAAR
T-Stat
AAR
CAAR
T-Stat
-10
-0.476
-0.476
-1.608
-0.202
-0.202
-0.787
-0.032
-0.032
-0.129
-9
0.877**
0.401
2.986
0.652**
0.451
2.278
0.595
0.563
2.111
-8
-0.003
0.398
-0.011
-0.152
0.298
-0.694
-0.175
0.388
-0.782
-7
-0.649
-0.251
-1.922
-0.621
-0.322
-1.947
-0.562
-0.174
-1.792
-6
0.194
-0.057
0.668
0.179
-0.143
0.678
0.218
0.043
0.825
-5
0.826**
0.769
2.654
0.698**
0.555
2.444
0.684**
0.728
2.397
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ISSN No. 2454-6194 | DOI: 10.51584/IJRIAS |Volume X Issue XI November 2025
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-4
1.393**
2.162
2.539
1.152
1.707
2.030
1.087
1.815
1.928
-3
-1.103
1.059
-1.036
-1.568
0.139
-1.487
-1.734
0.081
-1.659
-2
0.951
2.010
1.180
0.560
0.699
0.688
0.427
0.508
0.522
-1
0.710**
2.720
2.578
-0.336
0.363
-1.716
-0.766**
-0.258
-2.882
0
-0.031
2.689
-0.149
-0.042
0.321
-0.187
-0.003
-0.260
-0.011
+1
-1.183
1.506
-1.748
-1.139
-0.818
-1.793
-1.074
-1.334
-1.708
+2
0.231
1.737
0.825
-0.350
-1.168
-1.062
-0.570
-1.904
-1.816
+3
-1.115*
0.621
-4.338
-0.062
-1.230
-0.391
0.462
-1.442
1.744
+4
0.595
1.216
1.100
0.262
-0.968
0.565
0.156
-1.285
0.321
+5
-0.143
1.073
-0.291
-0.314
-1.282
-0.600
-0.347
-1.632
-0.666
+6
0.127
1.200
0.444
-0.023
-1.305
-0.073
-0.046
-1.678
-0.146
+7
0.828
2.028
2.131
0.472
-0.833
1.280
0.356
-1.323
0.942
+8
0.804
2.832
1.840
0.663
-0.170
1.643
0.644
-0.679
1.591
+9
-0.958*
1.873
-3.406
-0.188
-0.358
-0.718
0.207
-0.471
0.626
+10
0.208
2.081
0.478
0.358
0.000
0.873
0.471
0.000
1.087
Source: Secondary Data * Significant at 1% level ** Significant at 5% level
IV. Healthcare Industry
Table 5 shows the results obtained by computing the AAR and CAAR for four companies in Healthcare
industry listed at BSE before and after GST announcement in September 2024. The event day generated an
AAR of -0.444, -0.308 and -0.227 under MAM, MM and MARM models respectively which was not
significant at 1% and 5% levels. The AAR before announcement period is positive for -1,-3,-8, and -9 day and
are negative for the remaining 6 days. The AAR are significant at 5% level consisting of positive returns on
day –9 under MARM and day –1 under MAM during the pre-announcement period which was significant at
1% level consisting of positive returns on day –6 under MM and MARM . During the post event period, the
AAR was negative for 1,2,3,5,6,9 and 10 days and is positive for remaining days. AAR after the announcement
day is statistically significant at 5% for day +9 under MAM and day +1 under MARM and at 1% for day +3
under MARM.
Table 5 – Analysis of AAR and CAAR for Healthcare Industry listed in NSE before and after GST Meeting
held on 9
th
September 2024
Day
MAM
MM
MARM
AAR
CAAR
T-Stat
AAR
CAAR
T-Stat
AAR
CAAR
T-Stat
-10
-0.828
-0.828
-1.672
-0.547
-0.547
-1.183
-0.192
-0.192
-0.392
-9
0.351
-0.477
1.745
0.379
-0.168
1.917
0.260
0.068
1.239
-8
0.603
0.126
1.870
0.669
0.502
2.184
0.621
0.689
2.026
-7
-0.512
-0.387
-1.060
-0.356
0.146
-0.829
-0.234
0.455
-0.539
-6
1.157
0.771
4.354
1.292*
1.438
4.905
1.372*
1.826
5.027
-5
-1.110
-0.339
-2.478
-1.032**
0.405
-3.047
-1.060**
0.766
-3.114
-4
-0.161
-0.500
-0.828
-0.141
0.265
-0.670
-0.276
0.491
-1.414
-3
0.667
0.167
1.246
0.574
0.838
1.367
0.227
0.717
0.496
-2
-0.564
-0.397
-1.515
-0.620
0.219
-1.991
-0.896
-0.179
-2.642
-1
0.676**
0.279
3.503
0.289
0.508
1.603
-0.609
-0.788
-2.576
0
-0.444
-0.165
-1.751
-0.308
0.200
-1.227
-0.224
-1.012
-0.870
+1
0.163
-0.001
0.727
0.327
0.528
2.521
0.463**
-0.549
3.831
+2
0.342
0.340
1.479
0.190
0.717
1.538
-0.268
-0.817
-1.449
+3
-0.322
0.018
-1.050
0.353
1.070
1.505
1.446*
0.630
5.328
+4
-0.229
-0.211
-1.275
-0.255
0.815
-1.084
-0.476
0.153
-2.324
+5
0.004
-0.207
0.030
0.060
0.875
0.610
-0.008
0.146
-0.070
+6
-0.049
-0.256
-0.200
0.017
0.892
0.080
-0.031
0.114
-0.149
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+7
-0.685
-0.941
-1.573
-0.723
0.169
-1.571
-0.966
-0.852
-2.158
+8
-0.493
-1.434
-1.378
-0.422
-0.253
-1.396
-0.462
-1.314
-1.496
+9
-0.822**
-2.255
-3.862
-0.290
-0.542
-0.805
0.535
-0.779
2.077
+10
0.324
-1.931
0.866
0.542
0.000
1.295
0.779
0.000
1.738
Source: Secondary Data * Significant at 1% level ** Significant at 5% level
V. Information Technology Industry
Table 6 displays the results of AAR and CAAR for four companies in Information technology industry listed
at BSE. The event day generated an AAR of -0.408, -0.266 and -0.169 under MAM, MM and MARM models
respectively which was not significant at 1% and 5% levels. The AAR before announcement period is positive
for -1, -2,-5,-7,-8, and -10 day and are negative for the remaining 6 days. During the post event period the AAR
was negative for 1,3,4,6, and 9 days and is positive for remaining days. AAR after the announcement day are
statistically significant at 5% for day +8 and under MAM and MM and MARM and+7,+9,+10,and under MM
and MARM at 1% for day +10 under MAM and +10 under MARM.
Table 6 – Analysis of AAR and CAAR for Information Technology Industry listed in NSE before and after
GST Meeting held on 9
th
September 2024
Day
MAM
MM
MARM
AAR
CAAR
T-Stat
AAR
CAAR
T-Stat
AAR
CAAR
T-Stat
-10
0.836
0.836
1.209
1.077
1.077
2.152
1.491
1.491
2.206
-9
-0.357
0.478
-1.550
-0.290
0.787
-1.537
-0.429
1.062
-1.730
-8
0.643
1.122
0.976
0.737
1.524
1.134
0.681
1.743
1.073
-7
0.185
1.306
0.363
0.340
1.864
0.791
0.482
2.225
0.970
-6
-0.599
0.707
-1.415
-0.458
1.406
-1.013
-0.365
1.860
-0.771
-5
-0.089
0.618
-0.109
0.012
1.419
0.015
-0.020
1.840
-0.025
-4
-0.132
0.486
-0.530
-0.070
1.348
-0.259
-0.228
1.612
-0.861
-3
-0.674
-0.188
-1.194
-0.690
0.659
-1.136
-1.095
0.517
-1.839
-2
0.930
0.742
1.742
0.940
1.598
2.535
0.617
1.134
1.240
-1
0.924
1.665
1.107
0.707
2.305
2.027
-0.341
0.792
-0.408
0
-0.408
1.257
-0.356
-0.266
2.039
-0.226
-0.169
0.623
-0.149
+1
0.552
1.809
0.685
0.713
2.752
0.959
0.871
1.494
1.064
+2
-0.187
1.622
-0.486
-0.243
2.509
-0.586
-0.777
0.717
-1.923
+3
-0.416
1.206
-0.628
0.095
2.604
0.372
1.372
2.089
2.090
+4
1.256
2.462
1.802
1.286
3.890
1.781
1.028
3.117
1.542
+5
-0.265
2.197
-2.267
-0.178
3.712
-1.325
-0.258
2.860
-2.271
+6
0.006
2.203
0.046
0.100
3.812
1.071
0.043
2.903
0.367
+7
-2.060
0.144
-2.593
-2.037**
1.775
-3.176
-2.321**
0.582
-3.031
+8
-0.859 **
-0.715
-3.275
-0.762**
1.013
-3.265
-0.808**
-0.226
-3.190
+9
-0.479
-1.193
-1.443
-0.066
0.947
-0.133
0.897**
0.671
3.282
+10
-1.145*
-2.339
-9.883
-0.947**
0.000
-3.752
-0.671*
0.000
-4.470
Source: Secondary Data * Significant at 1% level ** Significant at 5% level
VI. Metals & Mining Industry:
Table 7 indicates the results obtained by computing the AAR and CAAR for four companies in Metals and
mining industry listed at BSE before and after GST Announcement. The event day generated an AAR of -
0.274, -0.162 and -0.021 which was not significant at 1% and 5% levels. The AAR before announcement
period is positive for -1, -2,-4, -7 and -10 day and is negative for the remaining 6 days. During the post event
period there was no consistent pattern in the AAR it was negative for 1,3,4,5,8,9, and 10 days and is positive
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for remaining days. AAR after the announcement day is statistically significant at 5% for day +6 and under
MAM and MARM. It reveals that the investors have a chance to earn abnormal returns due to the event.
Table 7 – Analysis of AAR and CAAR for Metals & Mining Industry listed in NSE before and after GST
Meeting held on 9
th
September 2024
Day
MAM
MM
MARM
AAR
CAAR
T-Stat
AAR
CA AR
T-Stat
AAR
CAAR
T-Stat
-10
-0.214
-0.214
-0.232
-0.165
-0.165
-0.208
0.455
0.455
0.524
-9
-0.496
-0.711
-0.614
-0.345
-0.510
-0.414
-0.553
-0.099
-0.644
-8
-0.208
-0.919
-0.346
-0.072
-0.582
-0.136
-0.156
-0.255
-0.290
-7
0.355
-0.564
0.253
0.454
-0.128
0.314
0.666
0.412
0.472
-6
-0.773
-1.336
-1.537
-0.664
-0.792
-1.378
-0.525
-0.113
-1.043
-5
-0.219
-1.555
-0.477
-0.088
-0.880
-0.172
-0.135
-0.248
-0.269
-4
-0.088
-1.644
-0.155
0.066
-0.813
0.116
-0.170
-0.418
-0.282
-3
-2.111
-3.755
-0.971
-1.911
-2.724
-0.845
-2.518
-2.936
-1.162
-2
2.347
-1.408
0.937
2.532
-0.192
1.039
2.048
-0.888
0.815
-1
0.138
-1.270
0.141
0.456
0.263
0.390
-1.113
-2.001
-1.191
0
-0.274
-1.544
-1.162
-0.166
0.097
-0.786
-0.021
-2.022
-0.107
+1
-0.203
-1.746
-0.499
-0.106
-0.009
-0.266
0.131
-1.890
0.306
+2
-0.613
-2.359
-1.892
-0.389
-0.398
-2.032
-1.188
-3.079
-3.973
+3
-0.266
-2.625
-0.330
-0.375
-0.773
-0.775
1.536
-1.543
1.964
+4
0.203
-2.422
0.396
0.376
-0.397
0.869
-0.011
-1.554
-0.022
+5
0.795
-1.627
1.928
0.935
0.538
2.519
0.816
-0.737
2.296
+6
-0.714**
-2.341
-5.670
-0.578
-0.040
-2.942
-0.663**
-1.400
-3.412
+7
-1.114
-3.455
-1.961
-0.937
-0.976
-1.459
-1.362
-2.762
-2.344
+8
0.121
-3.334
0.130
0.255
-0.721
0.273
0.186
-2.575
0.197
+9
0.823
-2.511
1.231
0.772
0.051
1.851
2.213
-0.362
3.497
+10
-0.126
-2.637
-0.345
-0.051
0.000
-0.120
0.362
0.000
0.834
Source: Secondary Data * Significant at 1% level ** Significant at 5% level
VII. Oil Gas & Consumable Fuels Industry
Table 8 displays the results obtained by computing the AAR and CAAR for four companies in Oil gas and
consumable industry listed at BSE. The event day generated an AAR of -1.700, -1.329 and -0.139 which was
not significant at 1% and 5% levels. The AAR before announcement period positive for -1, -2,-6, -7 and -10
day and are negative for the remaining 6 days. The AAR is significant at 5% level consisting of positive returns
on day –8 under MAM and day –1,-7 under MARM during the pre-announcement period which was significant
at 1% level. During the post event period, the AAR was negative for 1, 3,5,6,7,9, and 10 days and is positive
for remaining days. AAR after the announcement day are statistically significant at 5% for day +4 and under
MAM and MAR day +10and under MARM and at 1% for day +3 ,+4,under MARM.
Table 8 – Analysis of AAR and CAAR for Oil Gas & Consumable Fuels Industry NSE before and after GST
Meeting held on 9
th
September 2024
Day
MAM
MM
MARM
AAR
CAAR
T-Stat
AAR
CAAR
T-Stat
AAR
CAAR
T-Stat
-10
0.048
0.048
0.067
0.211
0.211
0.299
1.025
1.025
1.389
-9
-0.614
-0.566
-1.883
-0.089
0.122
-0.245
-0.363
0.662
-1.025
-8
-0.556**
-1.122
-3.068
-0.086
0.036
-0.629
-0.196
0.466
-1.378
-7
0.770
-0.352
1.577
1.112
1.147
2.385
1.390**
1.856
3.156
-6
-0.471
-0.823
-1.671
-0.098
1.049
-0.308
0.085
1.940
0.259
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-5
-0.543
-1.367
-1.272
-0.089
0.960
-0.252
-0.151
1.789
-0.423
-4
-0.701**
-2.068
-3.234
-0.165
0.795
-0.740
-0.475
1.314
-2.257
-3
-0.832
-2.900
-0.895
-0.134
0.662
-0.172
-0.931
0.384
-1.079
-2
-0.471
-3.370
-0.842
0.174
0.836
0.317
-0.461
-0.077
-0.821
-1
-0.533
-3.903
-1.662
0.584
1.420
1.030
-1.476**
-1.553
-3.982
0
-1.700
-5.603
-2.600
-1.329
0.091
-2.168
-1.139
-2.692
-1.888
+1
-0.501
-6.104
-0.947
-0.171
-0.081
-0.323
0.140
-2.551
0.258
+2
-1.329
-7.433
-2.241
-0.547
-0.628
-1.120
-1.596
-4.148
-2.963
+3
0.268
-7.165
0.679
-0.130
-0.758
-0.509
2.378*
-1.769
5.326
+4
-0.632**
-7.797
-4.549
-0.030
-0.788
-0.695
-0.538*
-2.307
-7.052
+5
-0.007
-7.803
-0.027
0.479
-0.309
1.511
0.323
-1.984
1.076
+6
-0.343
-8.146
-0.901
0.128
-0.182
0.328
0.016
-1.968
0.042
+7
-0.591
-8.738
-2.411
0.028
-0.154
0.110
-0.530
-2.498
-2.255
+8
-1.824
-10.561
-2.281
-1.360
-1.514
-1.791
-1.451
-3.949
-1.907
+9
0.088
-10.473
0.168
-0.106
-1.620
-0.200
1.786
-2.163
3.319
+10
1.367
-9.107
2.457
1.620**
0.000
2.778
2.163**
0.000
3.460
Source: Secondary Data * Significant at 1% level ** Significant at 5% level
VIII. Consumer Discretionary Industry
Table 9 illustrates the results obtained by computing the AAR and CAAR for six companies in Consumer
Discretionary industry listed at BSE before and after GST Announcement. The returns were calculated for 21
days window period along with their significance at 1% and 5% levels is analysed for the above sample. The
event day generated an AAR of -0.392, -0.373 and -0.140 which was not significant at 1% and 5% levels. The
AAR before announcement period is positive for -1,-2,-4,-6,-7, and -10 day and are negative for the remaining
6 days. The AAR is significant at 5% level consisting of positive returns on day –8 under MARM and MAM
during the pre-announcement period which was significant at 1% level. During the post event period, the AAR
was negative for 1,3,8,9, and 10 days and is positive for remaining days. AAR after the announcement day is
statistically significant at 5% for day +3 and +9 under MARM and significant at 1% level.
Table 9– Analysis of AAR and CAAR for Consumer Discretionary Industry listed in BSE before and after
GST Meeting held on 9
th
September 2024
Day
MAM
MM
MARM
AAR
CAAR
T-Stat
AAR
CAAR
T-Stat
AAR
CAAR
T-Stat
-10
-0.354
-0.354
-0.795
-0.327
-0.327
-0.629
0.190
0.190
0.378
-9
-0.598
-0.952
-0.997
-0.591
-0.918
-0.951
-0.791
-0.601
-1.269
-8
-0.724**
-1.676
-2.500
-0.715
-1.633
-1.920
-0.844**
-1.445
-2.459
-7
0.099
-1.576
0.126
0.118
-1.516
0.125
0.316
-1.129
0.336
-6
-0.065
-1.641
-0.160
-0.051
-1.567
-0.148
0.006
-1.122
0.018
-5
-0.852
-2.494
-1.596
-0.840
-2.406
-1.471
-0.827
-1.949
-1.455
-4
0.308
-2.186
1.024
0.314
-2.092
1.625
0.092
-1.857
0.487
-3
-0.109
-2.295
-0.176
-0.109
-2.202
-0.187
-0.565
-2.422
-0.827
-2
1.214
-1.081
1.225
1.216
-0.986
1.381
0.820
-1.602
0.911
-1
0.971
-0.110
1.580
0.944
-0.042
2.055
-0.477
-2.079
-0.891
0
-0.392
-0.502
-1.283
-0.373
-0.415
-1.946
-0.140
-2.218
-0.772
+1
0.093
-0.409
0.251
0.111
-0.304
0.296
0.326
-1.892
0.980
+2
-0.191
-0.600
-0.166
-0.198
-0.502
-0.219
-0.887
-2.779
-0.860
+3
0.225
-0.375
0.351
0.279
-0.222
0.658
1.780**
-0.999
3.265
+4
-0.670
-1.045
-1.024
-0.666
-0.888
-0.856
-0.966
-1.965
-1.264
+5
-0.075
-1.120
-0.187
-0.066
-0.953
-0.183
-0.167
-2.132
-0.495
+6
-0.580
-1.700
-1.043
-0.571
-1.524
-1.015
-0.681
-2.813
-1.227
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+7
-0.094
-1.794
-0.179
-0.092
-1.616
-0.182
-0.462
-3.275
-1.086
+8
0.491
-1.304
1.680
0.505
-1.111
1.491
0.566
-2.710
1.726
+9
0.570
-0.734
0.625
0.621
-0.490
1.121
1.994**
-0.716
2.448
+10
0.472
-0.262
0.754
0.490
0.000
1.027
0.716
0.000
1.313
Source: Secondary Data * Significant at 1% level ** Significant at 5% level
IX. Fast Moving Consumer Goods Industry
Table 10 shows the results obtained by calculating the AAR and CAAR based on Mean Adjusted Model,
Market Model and Market Adjusted Return Model for three companies in Fast Moving Consumer Goods
industry listed at BSE before and after GST Announcement. The returns were calculated for 21 days window
period along with their significance at 1% and 5% levels is analysed. During the event day generated an AAR
of 1.335, 1.344 and 1.523 which was not significant at 1% and 5% levels. The AAR before announcement
period is positive for -1, -2.-3.-4,-5, and -7day and are negative for the remaining 6 days. The AAR are
significant at 5% level consisting of positive returns on day –10 under MAM and MM during the pre-
announcement period which was significant at 1% level. During the post event period the AAR was negative
for 2,7,8,9 and 10 days and is positive for remaining days. AAR after the announcement day is statistically
significant at 5% level and at 1% for day +9 under MARM. Absence of statistical significance shows that
among the companies studied no much of variations had occurred.
Table 10 – Analysis of AAR and CAAR for Fast Moving Consumer Goods Industry listed in BSE before and
after GST Meeting held on 9
th
September 2024
Day
MAM
MM
MARM
AAR
CAAR
T-Stat
AAR
CAAR
T-Stat
AAR
CAAR
T-Stat
-10
-0.813**
-0.813
-4.226
-0.731**
-0.731
-4.679
-0.333
-0.333
-1.507
-9
-0.963
-1.776
-1.695
-1.067
-1.798
-1.932
-1.221
-1.554
-2.143
-8
-0.699
-2.476
-2.210
-0.785
-2.582
-2.371
-0.884
-2.438
-2.787
-7
0.458
-2.017
1.326
0.458
-2.125
1.119
0.611
-1.827
1.427
-6
-0.554
-2.571
-3.052
-0.591
-2.715
-5.185
-0.547
-2.374
-5.120
-5
0.486
-2.085
1.095
0.437
-2.278
0.832
0.447
-1.927
0.849
-4
0.313
-1.773
1.023
0.203
-2.075
0.931
0.033
-1.894
0.133
-3
0.700
-1.072
1.090
0.531
-1.544
0.889
0.180
-1.714
0.308
-2
0.088
-0.984
0.162
-0.066
-1.610
-0.098
-0.370
-2.084
-0.594
-1
0.573
-0.410
0.951
0.154
-1.456
0.341
-0.939
-3.023
-1.801
0
1.335
0.925
1.865
1.344
-0.113
1.908
1.523
-1.499
2.085
+1
-0.296
0.629
-0.593
-0.292
-0.404
-0.544
-0.127
-1.626
-0.242
+2
0.458
1.087
2.098
0.227
-0.177
0.645
-0.303
-1.929
-1.145
+3
-0.882
0.205
-1.890
-0.545
-0.722
-1.692
0.609
-1.319
1.273
+4
-0.418
-0.213
-1.212
-0.548
-1.270
-2.183
-0.779
-2.099
-2.692
+5
-0.768
-0.982
-0.878
-0.846
-2.117
-0.955
-0.925
-3.023
-1.035
+6
-0.373
-1.355
-1.100
-0.454
-2.570
-1.758
-0.538
-3.562
-2.056
+7
0.809
-0.546
1.264
0.661
-1.909
1.201
0.376
-3.185
0.631
+8
0.699
0.153
1.800
0.663
-1.246
2.107
0.710
-2.476
2.304
+9
0.417
0.570
1.130
0.720
-0.526
1.652
1.777*
-0.699
6.201
+10
0.519
1.089
1.448
0.526
0.000
1.787
0.699
0.000
2.381
Source: Secondary Data * Significant at 1% level ** Significant at 5% level
X. Financial Services Industry
Table 11 indicates the results of the AAR and CAAR for eight companies in financial services industry listed
at BSE. The returns during the event day generated an AAR of 0.492, 0.407and 0.577 which was not
INTERNATIONAL JOURNAL OF RESEARCH AND INNOVATION IN APPLIED SCIENCE (IJRIAS)
ISSN No. 2454-6194 | DOI: 10.51584/IJRIAS |Volume X Issue XI November 2025
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significant at 1% and 5% levels. The AAR before announcement is positive for -4,-5.-6,-7,-9 and -10 day and is
negative for the remaining 6 days. The AAR are significant at 5% level consisting of positive returns on day –1
and -2 under MARM and during the pre-announcement period which was significant at 1% level consisting of
positive returns on day –3 under MARM. During the post event period, the AAR was negative for 2,3,4,7,8,9
and 10 days and is positive for remaining days. AAR after the announcement day are statistically significant at
5% for day +4 under MAM and MM for day +7 under MARM and at 1% for day +3 under MARM and for day
+7 under MAM and MM.
Table 11 – Analysis of AAR and CAAR for Financial Services Industry BSE before and after GST Meeting
held on 9
th
September 2024
Day
MAM
MM
MARM
AAR
CAAR
T-Stat
AAR
CAAR
T-Stat
AAR
CAAR
T-Stat
-10
-0.129
-0.129
-0.369
-0.129
-0.129
-0.412
0.249
0.249
0.864
-9
0.541
0.412
1.690
0.327
0.199
1.291
0.181
0.430
0.694
-8
-0.119
0.293
-0.340
-0.312
-0.113
-0.890
-0.406
0.024
-1.136
-7
0.237
0.530
0.583
0.142
0.028
0.367
0.286
0.311
0.789
-6
0.337
0.866
1.184
0.200
0.228
0.828
0.241
0.552
1.027
-5
0.939
1.805
1.875
0.788
1.016
1.711
0.797
1.350
1.736
-4
0.294
2.099
0.914
0.074
1.090
0.212
-0.088
1.262
-0.278
-3
-0.174
1.925
-0.785
-0.464
0.626
-2.161
-0.797*
0.465
-3.970
-2
-0.003
1.922
-0.022
-0.276
0.350
-1.047
-0.564**
-0.099
-2.740
-1
-0.040
1.882
-0.070
-0.617
-0.267
-1.955
-1.654**
-1.753
-3.301
0
0.492
2.373
1.777
0.407
0.140
1.490
0.577
-1.176
1.964
+1
-0.612
1.762
-1.674
-0.702
-0.562
-1.730
-0.545
-1.721
-1.290
+2
0.312
2.074
0.914
-0.048
-0.609
-0.235
-0.551
-2.272
-2.020
+3
-0.237
1.836
-1.264
0.056
-0.553
0.249
1.152*
-1.120
4.335
+4
0.962**
2.799
2.596
0.719**
0.165
2.439
0.499
-0.621
1.502
+5
-0.418
2.381
-0.750
-0.602
-0.437
-0.981
-0.677
-1.298
-1.126
+6
-0.064
2.317
-0.423
-0.251
-0.688
-1.386
-0.331
-1.629
-1.920
+7
1.541*
3.858
3.686
1.276*
0.588
3.680
1.006**
-0.623
2.652
+8
0.076
3.934
0.299
-0.060
0.528
-0.221
-0.015
-0.638
-0.056
+9
-0.671
3.263
-1.212
-0.416
0.113
-0.884
0.586
-0.052
1.128
+10
-0.026
3.237
-0.057
-0.113
0.000
-0.230
0.052
0.000
0.104
Source: Secondary Data * Significant at 1% level ** Significant at 5% level
XI. Information Technology Industry
Table 12 shows the results obtained by computing the AAR and CAAR based on Mean Adjusted
Model, Market Model and Market Adjusted Return Model for four companies listed in Information technology
industry. The returns during the event day generated an AAR of -1.873, -1.554and -1.452 which was
significant at 1% and 5% levels. The AAR before announcement is positive for -1,-2,-4,-5,-6,-7,-8, and -10 and
are negative for the remaining 6 days. The AAR are significant at 5% level consisting of positive returns on
day –7 under MARM and MM during the pre-announcement period which was significant at 1% level. During
the post event period there was no consistent pattern in the AAR it was negative for 1,2,3,4,5,6, and 9 days and
is positive for remaining days. AAR after the announcement day are statistically significant at 5% for day +5
and +7 under MAM and for day +4,+7,+10 under MM and for day +3,+5,+7,+10 under MARM and at 1% for
day +1,+8 under MARM for day +1 ,+8under MM and MAM. It reveals that the investors have a chance to
earn abnormal returns due to the event.
INTERNATIONAL JOURNAL OF RESEARCH AND INNOVATION IN APPLIED SCIENCE (IJRIAS)
ISSN No. 2454-6194 | DOI: 10.51584/IJRIAS |Volume X Issue XI November 2025
Page 723
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Table 12 – Analysis of AAR and CAAR for Information Technology Industry BSE before and after GST
Meeting held on 9
th
September 2024
Day
MAM
MM
MARM
AAR
CAAR
T-Stat
AAR
CAAR
T-Stat
AAR
CAAR
T-Stat
-10
0.828
0.828
0.945
1.314
1.314
1.809
1.541
1.541
1.853
-9
-0.276
0.551
-0.826
-0.213
1.101
-0.633
-0.301
1.240
-0.832
-8
0.445
0.997
1.914
0.550
1.651
2.677
0.494
1.734
2.200
-7
0.778
1.774
1.930
1.076**
2.727
3.530
1.163**
2.897
3.761
-6
-0.104
1.671
-0.307
0.111
2.838
0.278
0.136
3.033
0.342
-5
0.532
2.202
0.637
0.720
3.559
0.962
0.726
3.759
0.966
-4
-0.028
2.174
-0.066
0.022
3.581
0.055
-0.075
3.684
-0.162
-3
-0.727
1.447
-1.093
-0.815
2.766
-1.088
-1.014
2.669
-1.510
-2
0.412
1.859
1.855
0.360
3.126
1.710
0.186
2.856
0.900
-1
0.436
2.295
0.852
-0.221
2.905
-0.645
-0.843
2.013
-1.492
0
-1.873**
0.422
-2.860
-1.554
1.351
-2.467
-1.452
0.561
-2.131
+1
1.048*
1.470
4.985
1.356*
2.707
8.829
1.450*
2.011
8.424
+2
0.375
1.845
1.881
0.149
2.856
0.712
-0.153
1.859
-0.923
+3
-0.488
1.357
-1.080
0.579
3.435
0.867
1.236**
3.095
2.850
+4
0.818
2.174
2.682
0.821**
4.256
3.948
0.690
3.784
2.398
+5
-0.442**
1.732
-4.589
-0.321
3.935
-2.174
-0.366**
3.419
-2.780
+6
0.028
1.760
0.194
0.144
4.079
1.602
0.096
3.514
0.789
+7
-2.324**
-0.564
-3.440
-2.361**
1.718
-4.057
-2.524**
0.991
-3.828
+8
-1.268*
-1.833
-10.688
-1.051*
0.666
-6.794
-1.025*
-0.034
-7.194
+9
-1.058
-2.890
-2.003
-0.066
0.600
-0.112
0.535
0.501
1.103
+10
-0.914*
-3.805
-5.813
-0.600**
0.000
-3.014
-0.501**
0.000
-2.852
Source: Secondary Data * Significant at 1% level ** Significant at 5% level
FINDINGS OF THE STUDY
The study found that the GST announcement in stock market in the average abnormal returns (AARs)
and cumulative average abnormal returns (CAARs) calculated under Market Adjusted Model, Market
Model and Mean Adjusted Return Model consider the NIFTY 7 industries.
Automobile and auto components industry The AAR before announcement period from – 10 day to – 1
day are positive for 4days 5days 6days 7days 8days 9days and -10 day out of 10 day and are negative
for the remaining 6 days under MAM, MM and MARM models. AAR after the announcement day are
statistically significant expert day +2under MM and MARM
Fast moving consumer goods industry. The AAR before announcement period from – 10 day to – 1
day are positive for 1days 8days 9days and -10 day out of 10 day and are negative for the remaining 6
days under MAM, MM and MARM models. AAR after the announcement day are statistically
significant expert day 1,+2,+5,10 under MM and MARM and for day +2 under MAM
Financial services industry AAR before announcement period from – 10 day to – 1 day are positive for-
1days 2days and 3days 5days and 6days 7days and 8days 9days and -10 day out of 10 day and are
negative for the remaining 6 days under MAM, MM and MARM models. AAR after the announcement
day are statistically significant expert day +1 under MARM
Healthcare industry The AAR before announcement period from – 10 day to – 1 day are positive for -
5days 6days and 7days 8days 9days and -10 day out of 10 day and are negative for the remaining 6
days under MAM, MM and MARM models. AAR after the announcement day are statistically
significant expert day +6under MAM and for day +8 under MARM
Information technology industry levels The AAR before announcement period from – 10 day to – 1 day
are positive for 2days 5days 6days 7days and 9days and -10 day out of 10 day and are negative for the
INTERNATIONAL JOURNAL OF RESEARCH AND INNOVATION IN APPLIED SCIENCE (IJRIAS)
ISSN No. 2454-6194 | DOI: 10.51584/IJRIAS |Volume X Issue XI November 2025
Page 724
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remaining 6 days under MAM, MM and MARM models. AAR after the announcement day are
statistically significant on expert day +2under MM and MARM
Metals and mining industry The AAR before announcement period from – 10 day to – 1 day are
positive for -1days 2days and 3days 4days 5days and 6days 8days 9days and -10 day out of 10 day and
are negative for the remaining 6 days under MAM, MM and MARM models. AAR after the
announcement day are statistically significant on expert day +2,+3 under MAM and for day +10
MARM
Oil gas and consumable fuels industries AAR before announcement period from – 10 day to – 1 day are
positive for -1days 3days and 4days 5days 6days and 7days 8 and -10 day out of 10 day and are
negative for the remaining 6 days under MAM, MM and MARM models. AAR after the announcement
day are statistically significant on expert day +10under MAM
Consumer discretionary industry The AAR before announcement period from – 10 day to – 1 day are
positive for -3days 4days 5days 7 and -9 day out of 10 day and are negative for the remaining 6 days
under MAM, MM and MARM models. AAR after the announcement day are statistically significant on
expert day +3 and +8 under MAM and for day+4,+6 under MARM
SUGGESTIONS OF THE STUDY
CST should it increase the vertical imbalances of resources and responsibilities among governments,
particularly for Urban Local Bodies.
If GST led to regional imbalance of development, there should be legal provision to correct the same.
The definition of goods and services should be clear otherwise it would lead to conflicts.
The results show that GST does not have a significant impact on the NSE NIFTY companies
CONCLUSION
This study investigates the equity market response to the Goods and Services Tax (GST) rollout in India. The
study employs multivariate regression analysis and event study techniques to examine the effects of the GST
law and its implementation on sector-specific indices of the Bombay Stock Exchange (BSE). The main finding
is that the different sectors responded differently to the GST rollout. This implies that investors in different
sectors have different expectations of the GST. For example, the auto industry in India didn’t give
significant returns in the event window. This may be because the GST rollout positively affected consumer
attitudes, as they expected a fall in prices. Thus, there was an expected reduction in prices. However, a rise in
systematic risk in the implementation of GST has hampered the market and degraded investor sentiment.
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