Data Drive: The capex boost

For key infrastructure segments, the overall spending (including Internal and Extra Budgetary Resources) will rise 15%, and the rise is most prominent for roads, railways, drinking water and renewable energy.

February 6, 2023 04:30 IST

Even the capital outlay for public sector enterprises, including IEBR, is budgeted to rise 31% in FY24.

Data Drive, The capex boost — Even the capital outlay for public sector enterprises, including IEBR, is budgeted to rise 31% in FY24.

As capital expenditure has a much higher and longer-lasting growth multiplier than current expenditure, the revenue-to-capex ratio falling from 6.5% in the pre-pandemic years to a budgeted 3.5% in FY24 will aid investment-led growth. For key infrastructure segments, the overall spending (including Internal and Extra Budgetary Resources) will rise 15%, and the rise is most prominent for roads, railways, drinking water and renewable energy. Even the capital outlay for public sector enterprises, including IEBR, is budgeted to rise 31% in FY24.