Key Points
Despite challenges such as missed sales tax targets and reduced grants, capital expenditure in 13 major Indian states is projected to increase by 29% to Rs 6.2 lakh crore in FY24, according to rating agency ICRA..
This surge is attributed to increased support from the Indian government, which has raised the allocation for the Scheme for Special Assistance to States for Capital Investments..
The capital expenditure of 13 major states is expected to rise 29% to Rs 6.2 lakh crore in FY24 over the previous year, despite a miss in sales tax collection targets, decline in grants from the Centre, and a step down in borrowing limit of state governments, according to the latest report by rating agency ICRA...
The anticipated YoY surge in capex benefits from the prescient support extended by the Government of India (GoI) to the state governments through the increase in the allocation for the Scheme for Special Assistance to States for Capital Investments to Rs. 1.3 lakh crore in FY2024 BE from the Rs..
The 13 states, namely, Andhra Pradesh, Gujarat, Haryana, Karnataka, Kerala, Madhya Pradesh, Maharashtra, Punja, Rajasthan, Tamil Nadu, Telangana, Uttar Pradesh and West Bengal, had set an ambitious target of Rs 6.7 lakh crore for FY24 capex spending...
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