Centre on track with capex target for FY24, 80% spent

Govt holding a modest cash balance to meet its commitments for the final quarter of FY24

- Rhik Kundu

68% capex target spent in first nine months of FY24

₹9.5 tn govt's capex target for FY24

The Union government is on track to achieve its capital expenditure target for the ongoing financial year, a senior government official said, riding accelerated spending on key infrastructure projects essential to spur economic growth. Till early February, the government had spent about 80% of its total capital expenditure target for FY24, according to a briefing by the finance ministry on Monday. 

In the first nine months of the financial year, the government had spent only about 68% of its capex target, as per the Centre’s response to questions at the Rajya Sabha earlier this month. The official mentioned earlier, requesting anonymity, also said the government was holding a modest cash balance to meet its commitments for the final three months of FY24.

"The cash balance with the Centre is not high as the government’s borrowing for the fiscal year has been completed," the official said, without disclosing the amount.