CPSE capex up 14% in first 2 months of current financial year

NEW DELHI: The Central Public Sector Enterprises (CPSEs) have so far spent Rs 72,000 crore in Capex in the first two months of the current financial year, sources in the government told TNIE. This is 14% higher than Rs 63,000 crore capex (capital expenditure) achieved in the same period previous year.

The government has given the CPSEs capital expenditure target of Rs 6.6 lakh crore in 2022-23. So far in the first two months, they have been able to achieve 11% of the target. The Central PSUs play a big role in pushing the government’s infrastructure and capital spending push. In 2021-22, CPSEs spent Rs 5 lakh crore in capex against the target of Rs 5.95 lakh crore.

The Centre has made an outlay of Rs 7.5 lakh crore for capital expenditure in the Union Budget, a jump of 35.4% from last year’s budget allocation of Rs 5.54 lakh crore. The amount spent by CPSEs, however, is not part of the Centre’s capex, and it is over and above the allocation made by the Central government. Meanwhile, Coal India ltd has in statement on Monday said that it has achived a 65% jump in capital expenditure in the April-June quarter of the current financial year.

CIL’s capex jumped to Rs 3,034 Crores during April-June 2022 compared to Rs 1,841 Crore of April-June 2021. “The capex increase came on the back of a strong spending in acquiring land and strengthening transport infrastructure in our coalfields under first mile connectivity projects. These two vital areas help CIL in expanding its mining operations for accelerated production and pairing it with seamless transportation of coal”, said a senior official of the company.

Govt’s capex
Centre had made an outlay of Rs 7.5 lakh crore for capital expenditure in the Union Budget, a jump of 35.4% from last year’s budget allocation of Rs 5.54 lakh crore