Centre to Inject Rs 12 Lakh Crore Capex as Private Investment Lags

• The Union government plans to increase capital expenditure by 7% to around Rs 12 lakh crore in the upcoming Budget.
• This move aims to boost domestic growth and infrastructure development, compensating for uneven private investments.
• Global uncertainties, geopolitical tensions, and volatile markets continue to dampen private investment sentiment.
• The increased capex is premised on meeting fiscal targets through tighter revenue spending control and efficient fund deployment.
• Current fiscal year's capital expenditure was Rs 11.21 trillion, with Rs 6.6 trillion utilized by November.

Why It Matters: Centre boosts capex to Rs 12 lakh crore in upcoming Budget to counter lagging private investment.