Waiting for private sector to take the lead on capex: CEA Nageswaran

'Not necessary or healthy for public sector to keep expanding capital investment,' he says

Policymakers must decide if public sector investment should be scaled up, or should the private sector take over as the main engine of capital formation in the economy, said Chief Economic Advisor V Anantha Nageswaran on Friday.

“It may not be necessary or healthy for the public sector to keep expanding capital investment at the same pace. Capital expenditure has to increase, but not at the same pace because not only should we not be crowding out the private sector, but also ensuring that the combined investment spending by the public and private sector should not drive up the cost