All posts tagged: Capex

Fiscal stress a reality, focus to stay on capex: Expenditure Secretary | Business News

Fiscal stress a reality, focus to stay on capex: Expenditure Secretary | Business News

Published by Parlour News

3 min readNew DelhiMay 2, 2026 05:28 AM IST Fiscal stress is “very much a reality” and there could be lots of stress points going ahead amid the ongoing West Asia conflict, but the government is focused on spending on priority sectors and capital expenditure, which will continue to be at the budgeted level of Rs 12.2 lakh crore, Expenditure Secretary Vumlunmang Vualnam said on Friday. Stating that the LPG crisis has been a “challenging situation” with India importing about 60% of its requirement, of which 90% comes through Strait of Hormuz that has been impacted by the disturbance, Vualnam said the government has been proactive in tackling these situations. However, there are also “systemic constraints” where one cannot really tackle off or wipe away all the impacts which are there, the Secretary said. For instance, beyond LPG, the cut in excise duties will also have a fiscal impact, he said. “So, the fiscal stress is indeed very much a reality. But at the same time, the priority sectors, for example, the capex could really …

Mega connectivity push: Railways, highways continue to be primary drivers, take 47% of capex | Business News

Mega connectivity push: Railways, highways continue to be primary drivers, take 47% of capex | Business News

Published by Parlour News

4 min readNew DelhiFeb 2, 2026 05:10 AM IST The road transport and highways sector, alongside Railways, continues to be a primary driver of India’s infrastructure. The two sectors account for almost 47% of the total capital expenditure allocation for financial year 2026-27. Union Finance Minister Nirmala Sitharaman on Sunday announced Rs 12.2 lakh crore for capital expenditure in FY27. Of this, Rs 2.94 lakh crore has been allocated for Road Transport and Highways, and Rs 2.78 lakh crore for the Railways. With Internal and Extra Budgetary Resources (IEBR) of Rs 15,000 crore, the total capex of Railways for FY27 stands at Rs 2.93 lakh crore. It is followed by Defence, Telecommunication and Housing & Urban Affairs. Sitharaman announced seven high-speed rail corridors and one East-West dedicated freight corridor. This will give a major boost to Railways’ push for the Bullet train project and initiative to increase its model freight share viz-a-viz road. India is currently developing its first high-speed rail corridor, the bullet train project, between Mumbai and Ahmedabad, where over 55% physical progress …

Budget 2026 LIVE: FM Nirmala Sitharaman Announces ₹12.2 Lakh Crore Capex Target for FY27

Budget 2026 LIVE: FM Nirmala Sitharaman Announces ₹12.2 Lakh Crore Capex Target for FY27

Published by Parlour News

Gross GST collections rose 6.2% to over ₹1.93 lakh crore in January, mainly on higher revenues from imports.  Total refunds declined 3.1% to ₹22,665 crore. Net Goods and Services Tax (GST) revenues, however, grew 7.6% to about ₹1.71 lakh crore in January. Cess collection (from tobacco products) in January stood at ₹5,768 crore. This compares to ₹13,009 crore in collections in January last year when a cess was levied on luxury, sin and demerit goods such as cars, and tobacco products. – PTI Disclaimer: We do not own any of the content, ideas, images, or text presented here. All rights belong to their respective owners. For more information and to view the original source, please visit the following link: Source link

Union Budget 2026: From Tax Relief To AI Push And Capex Boost, Here’s What Industries Expect | India News

Union Budget 2026: From Tax Relief To AI Push And Capex Boost, Here’s What Industries Expect | India News

Published by Webster

Last Updated:February 01, 2026, 07:21 IST Industry expectations are pouring in, including tax relief to boost consumption, a sharper push for AI, and higher capital expenditure to sustain growth and job creation. Nirmala Sitharaman is set to create history on Sunday by becoming the first woman finance minister to present nine consecutive Union Budgets. (Photo Credit: X) Budget 2026 Expectations: As Finance Minister Nirmala Sitharaman prepares to present the Union Budget 2026-27 on February 1, industry expectations are pouring in, including personal income tax relief to boost consumption, a sharper push for artificial intelligence, and higher capital expenditure to sustain growth and job creation. Sitharaman is set to create history on Sunday by becoming the first woman finance minister to present nine consecutive Union Budgets. Ahead of the exercise, voices from sectors such as infrastructure, real estate, MSMEs, healthcare, education and technology are calling for targeted policy interventions amid global uncertainty and slowing private investment. Infrastructure & Real Estate India’s real estate sector is seeking structural reforms, including the grant of ‘industry’ status, a simplified …

SBI report projects govt capex to cross Rs 12 lakh crores in 2026-27

SBI report projects govt capex to cross Rs 12 lakh crores in 2026-27

Published by Webster

India continues to remain the bright spot supported by its strong macro fundamentals, and the government capex may cross Rs 12 lakh crore in Financial Year (FY) 2027. If the capital expenditure crosses the Rs 12-lakh crore mark, it will be a 10 per cent year-on-year growth, an SBI Research report said on Monday, according to the IANS. The nominal GDP growth relevant for budget math is expected to be around 10.5 to 11 percent, with the uptrend in global commodity prices possibly percolating in a higher WPI. Dr. Soumya Kanti Ghosh, Group Chief Economic Advisor of the State Bank of India, said that “a bit slower nominal growth may hurt tax revenues in FY27, requiring better expenditure planning. However, GST rationalisation and reduction in marginal tax rates for personal income tax is expected to cushion the impact of sluggishness in tax base,” the IANS reported.  Fiscal deficit to be at 4.2 percent of GDP Based on the above nominal forecast, the fiscal deficit is expected to be at 4.2 percent of GDP for FY27. …

No question of cuts, capex hiked to `11.21 lakh cr for FY26: Sitharaman | India News

No question of cuts, capex hiked to `11.21 lakh cr for FY26: Sitharaman | India News

Published by Parlour News

The central government’s capital expenditure estimates led to a clash of words between Congress leader and former Finance Minister P Chidambaram and Union Finance Minister Nirmala Sitharaman on Tuesday. While Chidambaram questioned the cut in Union government’s capital expenditure or capex, Sitharaman said the Centre has not cut capex, rather, the amount has been hiked to `11.21 lakh crore for financial year 2025-26 from `11.11 lakh crore in 2024-25. “Capital expenditure has not been cut at all. The previous year, it was up to `11.11 lakh crore in the Budget. It has gone up to `11.21 lakh crore (for FY 26). Capital assistance to the states from this `11.21 lakh crore has also gone up proportionately… So cutting down capex is not the case with us,” Sitharaman said during Question Hour in Rajya Sabha. She was replying to Chidambaram’s question on why the Central government cut capital expenditure from `11.11 lakh crore to `10,18,429 crore. He also sought to know why the assistance to states was cut from `3,90,778 crore to `2,99,891 crore. “I have …

Prepaid smart meters: KSEB again seeks Centre’s nod for grant for CAPEX mode roll-out

Prepaid smart meters: KSEB again seeks Centre’s nod for grant for CAPEX mode roll-out

Published by Parlour News

The Kerala State Electricity Board (KSEB) has reiterated its request for the allocation of Central grant for prepaid smart meter rollout on CAPEX mode in the State, according to the Power department. The Centre, however, is yet to give any assurance to the State government in this regard, according to the department. The Central guidelines for smart meters prescribe the TOTEX (Total expenditure) model for the rollout which the Kerala government had decided to avoid following protests by power sector unions. It was also estimated that the CAPEX model would be a more cost-effective option for the consumers and the KSEB, which is the implementing agency. The matter had also come up in the State Assembly earlier this month. As per an alternative proposal approved by the government, the KSEB had announced plans to install three lakh meters in Phase-1, covering government institutions, KSEB’s own system meters and high-tension consumers. The roll-out is proposed in two packages, where the first would involve the smart meters, communication network and allied software and the second, MDMS software …

How To Get Private Sector To Invest In Capex? Nirmala Sitharaman Answers

How To Get Private Sector To Invest In Capex? Nirmala Sitharaman Answers

Published by Webster

The centre is creating an ecosystem for domestic and foreign investment, underscored Finance Minister Nirmala Sitharaman, urging the private sector to reciprocate. The Minister added that banks and companies are in good health, suggesting the time is right for private investment. The Economic Survey, a state of the economy report, has stressed that the Union government’s efforts would need to be supplemented with “wholehearted acceptance” of the need for public-private partnerships in infrastructure across the country. A capital expenditure, or capex, is used to set up long-term physical or fixed assets. In 2024-25, the central government kept the capital expenditure outlay at Rs 11.11 lakh crore. It was a 11.11 per cent raise in capex year-on-year. Building infrastructure – physical, digital and social – has been a central focus area for the government in the last five years. This has had various dimensions – increase in public spending on infrastructure, creation of institutions to de-bottleneck approvals and execution and innovative modes of resource mobilisation. “We are creating an ecosystem to increase the role of the …

Capex stays strong even as it falls short of FY25 target | Business News

Capex stays strong even as it falls short of FY25 target | Business News

Published by Parlour News

The government has projected a capital expenditure target of Rs 11.21 lakh crore for the next financial year 2025-26, a growth of 10 per cent over the revised estimate for FY25 and just around 1 per cent higher than the budget estimate for the current financial year. This came on the back of the government undershooting its target for capital expenditure for FY25, meeting only 92 per cent of its target of Rs 11.11 lakh crore at Rs 10.18 lakh crore. The pace of capital expenditure slowed down in the current year primarily due to elections and monsoon-related disruptions. There have also been concerns about capex reaching capacity utilisation constraints. Union Finance Minister Nirmala Sitharaman, however, listed elections as the key reason for the slowdown in capital spending for both states and the Centre, adding that there is still “thirst for capital expenditure”. “On capex, there are two things playing out. One, of course, this particular year, has had the elections happening and because of that both central governments and state governments were catching up …

To Boost Infrastructure, Improve Liquidity For Private Players

To Boost Infrastructure, Improve Liquidity For Private Players

Published by Webster

Investment in infrastructure generates significant multiplier effects on the economy. This is particularly true for public spending in the form of capital expenditure. An initial investment in infrastructure triggers additional economic activity beyond the direct cost of construction, resulting in broader economic benefits. These benefits include increased employment, enhanced business activity, and higher consumer spending across sectors impacted by improved infrastructure. According to the National Institute of Public Finance and Policy, every rupee spent on infrastructure contributes between 2.5 to 3.5 rupees to GDP. India has set an ambitious target of becoming a $7 trillion economy by 2030. To achieve this, the country requires a sustained CAGR of 10.1% from 2024 to 2030. Sustaining such growth will demand significant investment from both the government and the private sector. The Union Government has consistently increased its capital expenditure and in the FY-25 budget, allocated ₹11.11 lakh crore for capital expenditure, which accounted for 3.4% of GDP. Public Sector’s Limitations However, data on government expenditure suggests that the Centre may fall short of its annual capital expenditure …