Capex outlays haven't come down, using entire borrowings in FY26 towards capex

The government is using almost the entire borrowing in 2025-26 towards financing capital expenditure, Mrs Sitharaman said. She said the effective capital expenditure in FY'26 is Rs 15.48 lakh crore, which is 4.3 per cent of GDP.

- STATESMAN NEWS SERVICE

Finance Minister Nirmala Sitharaman on Tuesday said the capital expenditure outlays have not come down, but gone up. The amount going to states was also has not reduced and Rs 25.01 lakh crore will be transferred in FY'26, she said.

The government is using almost the entire borrowing in 2025-26 towards financing capital expenditure, Mrs Sitharaman said. She said the effective capital expenditure in FY'26 is Rs 15.48 lakh crore, which is 4.3pc of GDP.

The Finance Minister's response came in the Lok Sabha on a discussion on the General Budget 2025-26.