India's Infrastructure Investment Reaches New Heights
Significant Growth in Capital Expenditure
New Delhi, June 11: India has witnessed remarkable advancements in its infrastructure over the past decade, with capital expenditure soaring from ₹2 lakh crore in 2014-15 to an impressive ₹11.21 lakh crore projected for 2025-26. This marks a substantial increase of six times, as highlighted by Finance Minister Nirmala Sitharaman on Wednesday.
The allocation for capital expenditure has reached an unprecedented level of ₹11.21 lakh crore for the fiscal year 2026.
“Under Prime Minister Narendra Modi's leadership, India's infrastructure has made significant strides in the last ten years,” FM Sitharaman stated in a post on X.
She noted a remarkable increase of over 860% in the budget for road transport, now exceeding ₹3 lakh crore, and a fourfold expansion of the Metro Rail Network, which has grown from 248 KM in 2014 to 1011 KM by 2025.
FM Sitharaman also pointed out that engineering marvels like the Atal Tunnel and Chenab Bridge are reshaping India's landscape.
“These achievements reflect PM Modi’s vision for a modern, interconnected, and prosperous India,” she added.
According to her, the drive for next-generation infrastructure is rooted in sustainability and a long-term perspective.
“This initiative is laying the groundwork for a self-reliant India,” the Finance Minister emphasized.
The government is on track to exceed its revised capital expenditure target of ₹10.18 lakh crore for FY25 by a slight margin.
The capex target was adjusted to ₹10.18 lakh crore in the Union Budget for 2025-26, down from ₹11.1 lakh crore. For the current fiscal year (FY26), the government has earmarked ₹11.21 lakh crore for capital expenditure.
As per Union Finance Minister Nirmala Sitharaman, the Indian economy is set to maintain its status as the fastest-growing economy globally, supported by increased government capital expenditure in the 2025-26 Budget and rising consumption levels, particularly in rural areas.
The effective capital expenditure is projected to be 4.3% of GDP in the 2025-26 Budget, while the fiscal deficit stands at 4.4%.