In a big bang push to economic revival using the infrastructure route, Finance Minister Nirmala Sitharaman announced an allocation of ₹7.5 lakh crore towards capital expenditure for 2022-23. This is 35.4% higher than the ₹5.54 lakh crore allocated to capital expenditure last year.
"Outlay for capital expenditure in the union budget stepped up 35.4% from ₹5.54 lakh crore in the current year to ₹7.5 lakh crore in FY23," FM said in the budget speech.
"Capital expenditure holds key to sustainable and speedy economic revival and consolidation through its multiplier effect. Capex helps create employment opportunities. Economy has shown strong resilience to come out with strong growth. However we need to sustain that level to makeup for the set back of 2020-21," Sitharaman added.
Dinesh Kanabar, chief executive officer at Dhruva Advisors, said, “Big Infra spend seems to be the thrust of the Budget. This was the industry ask and seems to be what the Budget is all about.”