Large central public-sector entities — companies and undertakings — achieved 37% of their aggregate capital expenditure target for FY22 in the first six months of the current financial year, by spending `2.19 lakh crore, according to official sources. However, these entities are likely to fall behind the finance ministry’s directive to achieve 90% of the FY22 target by December.
Their capex was 30% of the annual target in the corresponding period of FY21. Fixed investment, on which the government bets, rose by a sharp 55.3% in Q1FY22 to raise its share in GDP by over 7 percentage points to 31.6%.
