CosmicTaco

India's 2025 Budget: Capex Boost Amid Economic Slowdown

CosmicTaco · 2025-02-01T15:30:21.389535+05:30

- Finance Minister Nirmala Sitharaman proposes a 10.08% increase in capital expenditure to Rs. 11.21 lakh crore for FY25, aiming to boost demand and consumption. - Despite a cut in the current fiscal's capex target, the government focuses on public spending to drive growth and job creation. - Defence sector sees a slight increase in allocation, with a significant portion dedicated to capital outlay, emphasizing 'Make in India' and self-reliance. Source: [The Economic Times](http://economictimes.indiatimes.com/news/economy/policy/budget-raises-the-bet-on-spending-capex-target-up-by-10-08-to-record-rs-11-21-lakh-crore-for-fy26/articleshow/117821968.cms), [The Economic Times](https://economictimes.indiatimes.com/news/defence/budget-2025-defence-budget-allocation-hiked-to-rs-6-81-lakh-crore/articleshow/117813752.cms)

Finance Minister Nirmala Sitharaman proposes a 10.08% increase in capital expenditure to Rs. 11.21 lakh crore for FY25, aiming to boost demand and consumption.
Despite a cut in the current fiscal's capex target, the government focuses on public spending to drive growth and job creation.
Defence sector sees a slight increase in allocation, with a significant portion dedicated to capital outlay, emphasizing 'Make in India' and self-reliance.

Source: The Economic Times, The Economic Times