May 21, 2024 07:27 (IST)
Follow us:
facebook-white sharing button
twitter-white sharing button
instagram-white sharing button
youtube-white sharing button
Sambit Patra triggers row calling Lord Jagannath 'Modi bhakt', later clarifies as 'slip of tongue' | AAP claims conspiracy after ED says it got illegal foreign funds | Amitabh and Jaya Bachchan walk out hand-in-hand after casting their votes in Lok Sabha polls | 57.5 pct voting recorded in Phase 5 of LS polls; top politicians including Smriti Irani, Rahul Gandhi in fray | CCTV footage shows Pune teen drinking at bar before Porsche accident that killed 2
Interim Budget 2024-25: Govt raises Capex allocation to Rs 11.1 lakh cr
PIB
Image Credit: PIB

Interim Budget 2024-25: Govt raises Capex allocation to Rs 11.1 lakh cr

| @indiablooms | 01 Feb 2024, 06:21 pm

New Delhi: Finance Minister Nirmal Sitharaman announced an allocation of Rs 11.1 lakh crore as capital expenditure for the next fiscal year in the Interim Budget FY-25, emphasising the continuation of India’s focus on infrastructure development.

This is an 11.1% increase in FY24’s Budget estimate and 16.9% higher than the revised estimate.

It is noteworthy, that the government was planning to spend Rs 10.01 lakh crore in FY24 but missed the target by Rs 50,715 crore, mainly due to poor utilisation by states of the capex loan scheme for them.

Although the budget initially earmarked Rs 1.3 lakh crore for the Special Assistance as Loan to States for Capital Expenditure scheme in 2023-24, the revised estimate has increased significantly to Rs 10.56 lakh crore.

For the upcoming fiscal year 2024-25, the government has maintained the flow of funds to the scheme at Rs 1.3 lakh crore, which involves providing interest-free loans to states exclusively for capital expenditure and has a tenure of 50 years.

The projected capital expenditure for the fiscal year 2024-25 by the Central government is Rs 11.11 lakh crore.

However, when factoring in grants-in-aid for the development of capital assets, which include allocations for demand-driven schemes like the Mahatma Gandhi National Rural Employment Guarantee Act scheme, the effective capital expenditure increases to Rs 14.97 lakh crore.

This marks a notable rise from the revised estimate of Rs 12.71 lakh crore in the previous fiscal year 2023-24.

Support Our Journalism

We cannot do without you.. your contribution supports unbiased journalism

IBNS is not driven by any ism- not wokeism, not racism, not skewed secularism, not hyper right-wing or left liberal ideals, nor by any hardline religious beliefs or hyper nationalism. We want to serve you good old objective news, as they are. We do not judge or preach. We let people decide for themselves. We only try to present factual and well-sourced news.

Support objective journalism for a small contribution.