Capital investment holds the key to speedy and sustained economic revival and consolidation through its multiplier effect,” said Finance Minister Nirmala Sitharaman during the budget speech. And she remained true to her word, increasing capital expenditure by 35.4 per cent to Rs 7.50 lakh crore for the year ending March 2023. The government has also proposed to give ₹1 lakh crore in 50-year interest-free loans to states for capital investment. According to Sitharaman, the effective capital expenditure of the Central government is estimated at ₹10.68 lakh crore next year, about 4.1 per cent of the GDP.
“The underlying macroeconomic strategy behind this budget is one of pump-priming the economy through public investments, hoping that economic buoyancy would crowd in private sector capex,” said Abheek Barua, chief economist at HDFC Bank. The overall expenditure of the government has been estimated at ₹39.45 lakh crore, which is about 13 per cent more than the previous budget estimate and 4.6 per cent more than the revised expenditure estimate.
Capital investment helps create jobs, inducing demand for goods and services. “Instead of redistributive direct fiscal support, an investment-led growth remains the government’s economic management mantra,” said Barua.
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A golden girl
One of India's most formidable beauties passed away earlier this month. The odd thing is she would absolutely hate this obituary; she hated being written about and avoided publicity for all of her nine decades. Indira Aswani was 93 when she died. But anyone who encountered her, even briefly, was in such awe of her grace and poise, and one could not but remember her forever.
The interest in wine is growing delightfully in India
The renowned British wine writer and television presenter Jancis Robinson, 74, recently came to Delhi and Mumbai to reacquaint herself with India's wine industry. This was the Robinson's fourth visit to India; the last one was seven years ago. On this trip, Robinson and her husband, restaurateur Nicholas Lander, were hosted by the Taj Hotels and Sonal Holland, India's only Master of Wine.
United in the states
Indian-Americans coming together under the Democratic umbrella could get Harris over the line in key battlegrounds
COVER DRIVE
Usage-driven motor insurance policies offer several benefits
GDP as the only measure of progress is illogical
Dasho Karma Ura, one of the world's leading happiness experts, has guided Bhutan's unique gross national happiness (GNH) project. He uses empirical data to show that money cannot buy happiness in all circumstances, rather it is family and health that have the strongest positive effect on happiness. Excerpts from an interview:
India is not a controlling big brother
Prime Minister Tshering Tobgay considers India a benevolent elder sibling as the \"big brotherly attitude\" is happily missing from bilateral ties. He thinks the relationship shared by the two countries has become a model of friendship not just for the region, but for the entire world. \"India's attitude is definitely not of a big brother who is controlling and does not allow the little brother to blossom and grow,\" says Tobgay in an exclusive interview with THE WEEK.
Comrade with no foes
Lal Salaam, Comrade Yechury-you were quite a guy!
Pinning down saffron
In her first political bout, Vinesh Phogat rides on the anti-BJP sentiment across Haryana
MAKE IN MANIPUR
Home-made rockets and weapons from across the border are escalating the conflict
SAHEB LOSES STEAM
Coalition dynamics and poor electoral prospects continue to diminish Ajit Pawar's political stock
