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Centre spends ₹3.4 trillion on capital projects in FY27 first quarter
Centre spends ₹3.4 trillion on capital projects in FY27 first quarter
The Story in Brief
The Centre spent ₹3.4 trillion on capital expenditure during April to June, around 28% of its ₹12.22 trillion budget for FY27, finance ministry data showed. Total expenditure reached ₹13.57 trillion, or 25.4% of the annual estimate. The spending reflects the government’s continued focus on infrastructure to support growth amid global trade disruptions and geopolitical uncertainty.
The Centre mobilised ₹10.49 trillion in receipts during the quarter, including ₹6.37 trillion in net tax revenue and ₹3.78 trillion in non-tax revenue. It transferred ₹2.63 trillion to states as their tax share. Revenue expenditure was ₹10.17 trillion, including ₹3.46 trillion in interest payments and ₹1.15 trillion in subsidies.
The Indian Opinion
The figures show a strong early-year focus on public investment, but they do not by themselves prove that private investment or growth will accelerate. Infrastructure spending can improve demand and logistics over time, although its effects depend on project quality, execution and fiscal space. Claims that capex alone can overcome global uncertainty may therefore be overstated. Further quarterly data will offer a clearer picture.
Source: livemint.com
This story was synthesised by AI from the source linked above.
