Capex target will be raised to Rs 12.2 lakh crore for FY27: FM

Finance Minister Nirmala Sitharaman on Sunday said the target for capex will be raised to Rs 12.2 lakh crore for FY27 from Rs 11.2 lakh crore earmarked for the current fiscal year and announced a slew of measures to boost infrastructure in the country. Presenting the Union Budget for 2026-27 in the Lok Sabha, she said the government will continue to develop infrastructure in Tier-2 and Tier-3 cities. ''Budgeted capex of Rs 12.2 lakh crore in FY27 is 4.4 per cent of GDP, highest-ever,'' Sitharaman said at the post-Budget conference. The government also proposes to set up risk guarantee fund for infrastructure sector, she added. A scheme for enhancement for construction and infrastructure equipment will be introduced to strengthen domestic manufacturing, Sitharaman said. The government also proposes to support professional institutions like ICAI, ICSI to design short-term modular courses, she added.