Capital spending has not been reduced: FM Sitharaman says that Capex has risen to 11.21 rupees in the fiscal year 26

Finance Minister Nermalla Setharmanan said that the capitalist spending of India has not been reduced, but in reality, it will rise to 11.21 rupees for the fiscal year 2025-26, which represents an increase of 11.11 Krurt in 2024-25. This announcement was released during the hour of questions in Rajia Sebha.

Sitharaman stressed, “In fact, (in) the budget this year, it rose to 11.21 rupees. Therefore, capitalist spending has not been reduced at all,” dealing with concerns about budget discounts. She also explained that loans to the states under a 50 -year -old special aid plan for capital spending have increased proportionally.

Setharman was answering a question from the former Finance Minister B Chidampar, who asked why the revised budgets in the fiscal year 2024-25 showed a decrease in capital spending to 10,18,429 rupees from 11.11 rupees.

Treating these contradictions, repeat Sitharaman, “So, reducing capitalist spending is not the case with us.” The Special Aid Plan, which began in 2020-21, has seen an increase in the disbursement of loans.

Since its inception, the special assistance plan has agreed to large money for countries, although actual versions have varied. In 2020-21, while 9,912 rupees were approved, 11,830 rupees were spent. Over the past years, the amounts approved with 15,928 rupees increased in 2021-22, 95147 rupees in 2022-23, and 1,27,492 rupees in 2023-24. During these years, the expenses reached 14,186 rupees, 81,195 rupees, and 1,00,954 rupees, respectively. By March 26 of the current fiscal year, 1,46,362 rupees were issued for 1,53,673 rupees.

The Minister of Finance admitted to the delay in allocating the allocation funds by the states, saying: “This moment is not when sending money, I do not know whether it is used for capitalist spending.” Over time, mechanisms such as digital nodal accounts improve transparency. “After completing the projects, the use certificate comes to us. Only then, we understand whether the money is used for capitalist spending or any other purposes.”

Tamil Nadu, as a beneficiary of the special aid plan, has been cumulatively 17,189.05 rupees since 2021. Nevertheless, the country has chosen aid for some initiatives, especially its old vehicles and urban planning reforms. Initially, no money is drawn in 2020-21, Tamil Nadu 505.50 Croes Ruphra was allocated in 2021-22, 4,011 rupees in 2022-23, and 5326.42 rupees in 2023-24, with 7,345 rupees on March 26, 2025.