Where is Indiaโs Capex Going? hashtagBudget2024
The Finance Minister has kept the capital expenditure (capex) target steady at โน11.11 lakh crore, a significant 16.9% increase from the previous year. This yearโs allocation is โน1.6 lakh crore higher than last year’s โน9.5 lakh crore spend. Letโs dive into the details of where this substantial investment is headed.
Top Departments Cornering Capex:
Defence: Up by 9.4%, translating to an increase of โน14,000 crore.
Telecom: Witnessing a 20.5% rise, also with an additional โน14,000 crore.
Railways: Seeing a boost of โน12,000 crore.
Roads and Police: Police services capex has surged by 32.8%, adding โน3,300 crore.
These five departments account for over 90% of the increased capex, highlighting the governmentโs focus on strengthening infrastructure and security.
Additional Allocations:
Economic Affairs: Receiving โน60,000 crore for other general services, to be distributed among various ministries.
States: Allocated โน47,000 crore.
Capex Reductions:
Law and Justice: Down by โน2,400 crore.
Atomic Energy: Reduced by โน1,142 crore.
Civil Aviation: Decreased by โน672 crore.
The governmentโs strategic capex distribution underscores a robust investment in defence, communications, and infrastructure, aiming to bolster Indiaโs economic and security framework.
However, some sectors like law, atomic energy, and civil aviation face cuts, indicating a shift in priorities.
