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Govt capex may top budget amid slack pvt spending
Hindustan Times Delhi
|September 24, 2025
The Centre has fiscal space to raise capex by 220,000-30,000 cr in this financial year
The government's capital spending on infra rose to ₹3.47 lakh crore in Q1 from ₹2.61 lakh crore in the same period last year.
(MINT)
The Centre has the fiscal space to liftinfrastructure spending beyond the budgeted 1.21 lakh crore for this financial year if private sector spending remains subdued amid global headwinds, two officials said.
The government has room to raise its 2025-26 capital expenditure (capex) by ₹20,000-30,000 crore, contrasting with FY25's cutbacks and taking it closer to ₹15 lakh crore, they added.
Even if its spending runs slightly above target, the Centre will stick to its fiscal deficit goal of 4.4% of gross domestic product (GDP) for FY26, supported by buoyant tax collections and a record dividend transfer from the Reserve Bank of India, the officials said, declining to be identified.
This story is from the September 24, 2025 edition of Hindustan Times Delhi.
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