FCC

Road and Rail Ministry exceed Rs 2 Tn capex

2023-08-31

In the initial four months of this fiscal year (until July), the road and railway ministries have collectively utilised over Rs 2 trillion in capital expenditure, marking their highest-ever spending. This utilisation accounts for nearly half of the allocated Rs 10 lakh trillion capex, with the government aiming to achieve 80% expenditure by December, well ahead of the upcoming general elections.

Railway sources revealed that more than 40% of the capex had been employed by the national transporter by July, including over Rs 1 lakh trillion for ongoing infrastructure and safety projects. The railway sector received a historic allocation of Rs 2.6 lakh trillion in the 2023-24 budget, primarily for various infrastructure developments and safety enhancements.

Meanwhile, the road ministry reported capital expenditure of around Rs 1.2 lakh trillion in the road sector, out of the total allocation of Rs 2.59 lakh trillion for the entire fiscal year. This year's capex utilisation represents a significant increase of 31.3% compared to the corresponding period in the previous year.