Big Boost for Infrastructure

The robust infrastructure spending announced in the Budget bodes well for the growth prospects of engineering, procurement and construction companies

- Ashish Sinha

PRIORITY ON INFRA SPENDINGS

33% Higher Capital Expenditure

22% Extra Allocation for Roads

15% Higher Allocation to Railways

3% Higher Allocation to PMAY

Rs 2.9 trillion Outlay for Roads

Railways To procure new wagons, add new Lines

THE NARENDRA MODI government’s growth agenda has once again come through forcefully in the Union Budget 2023-24. Continuing the trend of the past several years, the Budget for FY24 has bumped up the allocation for capital expenditure (capex) by a record 33 per cent year-onyear (YoY) to Rs 18.1 lakh crore, which includes central government capex of Rs 8.2 lakh crore for FY24(BE), loans to states for capex of Rs 1.3 lakh crore, grants-in-aid of capital assets of Rs 3.7 lakh crore, and Internal and Extra Budgetary Resources (IEBR) of Rs 4.9 lakh crore.