Page 2 - Capex Spending In India

To boost capex, FinMin relaxes norms for expenditure exceeding Rs 500 cr

The finance ministry has relaxed norms for expenditure exceeding Rs 500 crore to accelerate capex (capital expenditure) that is pegged at Rs 11.11 lakh crore for the current fiscal. This will give a push to government spending which suffered a slowdown for a couple of months due to general elections. Finance Minister Nirmala Sitharaman in the Budget proposed to raise the capital expenditure target by 11.1 per cent to record Rs 11.11 lakh crore for 2024-25. To provide requisite operational flexibility in the execution of the Budget, it has been decided to relax rules for big releases above Rs 500 crore for all items of expenditure in the current financial year, an office memorandum dated September 2, 2024, said. The relaxation permitted is subject to strict compliance by all ministries and departments, it said. All expenditures should be in compliance of the guidelines of the Single Nodal Agency (SNA)/Central Nodal Agency (CNA) and Monthly Expenditure Plan (MEP) and Quarterly ...

India has overcome after-effects of pandemic with capex push: FM Sitharaman

Nirmala Sitharaman said that not mentioning a state in the Budget speech does not mean that it will not be given any financial support, referring to the Opposition's charge on Bihar and Andhra

Budget 2024: Capex momentum for developing highways likely to continue

Focus will be on the quality of work done and not just the length of highways built, say senior govt officials

Case for reforms validated by past experience: CII President Sanjiv Puri

India is growing at a time when most economies are under stress, Puri said

Employment focus to drive capex push for engineering, infra firms: Execs

One of the election agendas was unemployment. You cannot do capex without generating employment. It is interlinked, says analyst

Apex capex: How is govt capital expenditure driving India's growth

Centre and states capex now at Rs 19 trillion, cornered by infra

Green shoots in private capex are visible: Assocham President Sanjay Nayar

Nayar talks about Assocham's priorities, pick up in private capex and the startup ecosystem

Fundraising via QIPs gain traction as India Inc looks for growth capital

Supportive markets, robust growth outlook ensure adequate demand for new paper supply

High capex, railway corridors, focus on seafood to boost India's exports

Announcements of measures in the interim Budget such as high capex, three major economic railway corridors, and a target to increase seafood exports would help boost the country's overall outbound shipments, exporters say. The government has proposed to step up the implementation of Pradhan Mantri Matsya Sampada Yojana (PMMSY) by enhancing aquaculture productivity from existing 3 tonne to 5 tonne per hectare, and setting up five integrated aqua parks. CII National Committee on Exports and Imports Chairman Sanjay Budhia said that the announcement of a Rs 1 lakh crore corpus for innovation with a 50-year interest-free loan for long-term financing, refinancing at no or nil interest rates will encourage the private sector to scale up R&D and innovation in sunrise domains and new age technologies. "There is a reinforcement of continued thrust on exports. Announcement of three economic corridors, multi-modal connectivity, emphasis on additional airports, etc. and doubling the target of .

Interim Budget: A path of fiscal prudence towards Viksit Bharat by 2047

The government has outlined a vision for Viksit Bharat by 2047, with GDP being given a new connotation of 'Governance, Development and Performance'

India's capex budget: Experts call for multiyear, data-driven plans

A beginning has already been made with detailed planning for the Indian Railways

Budget 2024: Centre may increase FY25 capex target for CPSEs by 12-13%

The government aims to propel economic growth with a higher capital expenditure target for central public sector enterprises (CPSEs) in the upcoming financial year

Shipping companies revenue may decline by 5-7% in next fiscal: CRISIL

Domestic shipping companies are likely to see a further 5-7 per cent decline in revenue in the next financial year amid normalisation of the rates, a report said on Thursday. This follows a steep 23-25 per cent fall in their revenue in the current fiscal (2023-24) after a 35 per cent growth in the last financial year when charter rates had surged because of geopolitical conflicts (including the Russia-Ukraine war) and higher demand from China post-pandemic, credit rating agency CRISIL said on Thursday. While the margin profile may vary widely across players operating in different segments, CRISIL said the average operating margin may continue to moderate to 33-35 per cent in the next fiscal driven mainly by the correction in charter rates. However, it will remain higher than the pre-pandemic levels of 25-30 per cent, the rating agency forecast. This along with modest capital expenditure (capex) plans, should sustain the healthy credit risk profiles of shipping companies, CRISIL ...

Capex on national highways rose to Rs 2.4 trl in 2022-23: Nitin Gadkari

Nitin Gadkari provided this information in a written reply in the Lok Sabha on Thursday. The NH network in the country has risen from 91,287 km in March 2014 to about 0.14 million km in 2023

India Inc capital expenditure growth enters slow lane in first half of FY24

This follows the sharp deceleration in revenue growth

Railways utilised 59% of its capex in first 6 months of 2023-24: Vaishnaw

The Indian Railways utilised 59 per cent of its total capital expenditure in the first six months of the financial year 2023-24, Railways Minister Ashwini Vaishnaw said on Saturday. This was made possible as the railways carried out 38 structural and procedural reforms in these six months, which helped improve its overall performance, he told reporters. "Our total budget for 2023-24 is Rs 2.4 lakh crore, out of which we have already spent Rs 1.4 lakh crore in the first half of the current financial year. This is 59 per cent of the total budget," Vaishnaw said. On the structural reforms carried out by the railways, he said the whole system of project execution, its finance and monitoring process have been revamped to bring in transparency and quality control. The Item Rate Contract system has been changed to Engineering, Procurement, and Construction (EPC) contracts, which is better and more accountable, he added. "Earlier, detailed project reports (DPRs) were made, which was more

Stellar rally in defence stocks not pricing potential risks, says KIE

The note said there could be a market opportunity of Rs 1.6 trillion for domestic procurement by FY26 due to overall solid defence capex growth and low imports due to indigenisation

Closely monitor capex to boost growth, employment: Parliamentary panel

The Standing Committee, headed by Jayant Sinha, highlighted the need for forward-looking surveys by industry and region to anticipate future trends

At 23% spend, Andhra Pradesh leads laggards in state capex in FY23

Most large states have fallen behind their budgeted capex targets by a wide margin in FY23, which was pegged at Rs 7.4 lakh crore but could spend only Rs 5.71 lakh crore or 76.2 per cent only, according to an analysis. Only four states -- Karnataka, Sikkim, Arunachal and Bihar -- have over-achieved their targets, while Jharkhand and Madhya Pradesh's capex spending stood at 98 per cent each. Eleven states fared better with 80 per cent target achievements, as per the analysis by Bank of Baroda economists. As against this, in FY21, the underachievement level was a high 72 per cent, primarily due to the pandemic emergency spending, and had improved to 95 per cent in FY22. Surprisingly, none of the 25 states whose data are available has been able to achieve the target by even three-fourths as the peak success rate is only 72.4 per cent, according to the analysis. This is surprising as the Centre had disbursed the required amounts for the year. The poor show was led by Andhra, which cou

Delphi-TVS Technologies JV to take up capex worth 450 cr at Chennai plant

Delphi-TVS Technologies, a joint venture between diversified conglomerate TVS Group and auto-component major BorgWarner, has lined up investments worth about Rs 450 crore over the next three years to take up capital expansion plan at its manufacturing facility here. Delphi-TVS Technologies, which commenced production of common rail system in 2009 has reached milestone production of over three million common rail systems at its manufacturing facility in Oragadam, about 45 kms from here. "We continue to expand the production capacity in common rail systems at the plant. We expect to invest about Rs 150 crore every year over the next two-three years..." Delphi Technologies President A Viswanathan told reporters. The company caters to all sections of the diesel engine market including passenger cars, commercial vehicles, tractors, construction equipment and industrial engines. With the proposed investment plans, the company would be scaling up the production to a million units from the