Key Points
14 states achieve less than 75% of capex targets in FY23: BoB report..
Many states, led by Andhra Pradesh, Maharashtra, UP and Kerala, have failed to meet the target in terms of actual capital expenditure (capex) on various fronts despite getting the required disbursals from the central government in FY2023, says a Bank of Baroda report...
The centre has met its target both in terms of actual capex in various areas as well as the loans disbursed to states that were to be used for capex..
Out of these 14 states, Andhra Pradesh and Punjab were the only states which had exceeded their fiscal deficit budgeted numbers and probably had some reason for under-spending on capex, though the two are not proportional, BoB said...
On the reasons for states not meeting their capex targets, BoB said, they tend to wait towards the end of the year to see how their fiscal balances are faring and are not in a position to complete the same by March..
