FY25 capex pegged at Rs 11.11 lakh crore, pace of hike slows

FY25 capex pegged at Rs 11.11 lakh crore, pace of hike slows

The interim Budget for FY25 has prioritized capital spending to stimulate economic growth. However, there has been a reduction in the growth rate of productive spending, with the rate for FY25 set at 11.1% compared to the budget estimate for FY24, which was over 33%. This adjustment aims to align expenditure with the proposed fiscal consolidation glide path. The move reflects the government’s commitment to maintaining a sustainable budget in the long term.

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