Capex has emerged as a key growth driver in India: Morgan Stanley
A decade after steadily decline in investment to GDP, capex has emerged as a key growth driver in India, global brokerage, Morgan Stanley said.
The Government-owned Power sector companies have invested more than Rs 32,137 crore for Capital Expenditure this year—63 % of their capex target.
“For the Financial Year (FY) 2021-22 the target for Capital Expenditure (Capex) of the Central Public Sector Enterprises (CPSEs) of the Ministry of Power is Rs. 50,690.52 crores out of which 63.4 % has already been spent,” said a senior officer of the Power Ministry here on Sunday.
Till November last year, Power Sector companies had incurred a capex of Rs. 22,127 crore—which was 49.3 % of the total expenditure of the last fiscal year, the Ministry said.
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“Thus, the capex performance of the Ministry in absolute as well as relative terms is better compared to the previous year. In absolute terms it has shown a growth of 45 % over last year’s performance,” the officer claimed.
Even in the schemes for infrastructure development, the ministry has been making good progress. It has spent Rs 1593.72 Crore in IPDS, Rs 1007.51Crore in DDUGJY, and Rs 890Crore in Transmission Development schemes for the North-Eastern region, the Ministry said.
This means, besides the expenditure of Rs 32137.37 Crore by CPSEs , an additional amount of Rs 3491.23 Crore was invested in infrastructure through development schemes of the ministry, he said.
And if the additional investment is taken into consideration, the Power Ministry has invested Rs 35,628.6 Crore in infrastructure development, he said. The Power Ministry has been reviewing the progress of the schemes and projects on a weekly basis by the Union Power Secretary, Ministry.
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