Overall target for capital expenditure of FY27 is over ₹8.43 lakh crore

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GAIL (India) Ltd leads 63 Central public sector enterprises and four other organisations in spending more than one-fourth of the annual target of capital expenditure in first two months of the fiscal year 2026-27 (FY27), data from Department of Public Enterprises (DPE) showed.Overall target for capital expenditure of FY27 is over ₹8.43 lakh crore, while actual expenditure was over ₹1.44 lakh crore, which is over 17 per cent. However, while actual spending was over ₹81,000 crore in April, which came down to over ₹63,500 crore in May.During the two-month period, Railway Board stood second with achieving over 25 per cent of the annual target. It was followed by NTPC, NHAI and ONGCGrowth opportunitiesCPSEs are encour­aged to take up capex to achieve prof­it­able growth in their busi­ness. A large capex cre­ates growth oppor­tun­it­ies and fur­ther employ­ment. Sev­eral key per­form­ance indic­at­ors (KPIs) have been included in the annual MoU frame­work for CPSE eval­u­ation. This includes capex, return on net­worth or return on cap­ital employed, export and import as per cent of rev­enue, EBIDTA as per cent of rev­enue and asset turnover ratio.This data has come at a time when capex of the Cent­ral gov­ern­ment surged by over 18 per cent in April compared to the corresponding month of FY26 as reported by Controller General of Accounts (CGA). Key contributions came from railway (19 per cent of the Budget Estimates) and road (19 per cent of the Budget Estimates)The government has set the capital expenditure during current fiscal to ₹12.21 lakh crore of which over ₹1.89 lakh crore has been spent during April. Higher spend­ing by infra­struc­ture min­is­tries is expec­ted to have a pos­it­ive impact on the over­all growth num­ber.Higher spend­ing by CPSEs and gov­ern­ment organ­isa­tions are crit­ical as not much improve­ment is seen in the private capex. It may be noted that a for­ward­ look­ing sur­vey on private capex invest­ment inten­tions by the Min­istry of Stat­ist­ics and Pro­gramme Imple­ment­a­tion showed moderation in capex during FY27, with aggregate intentions falling 16.5 per cent to ₹9.55 lakh crore from the provisional ₹11.44 lakh crore estimated for 2025-26 (FY26).This is, according to the second forward-looking survey on private corporate sector capex investment intentions, covering October–December 2025 .The implied 16.5 per cent decline in planned new-asset spending among the 5,366 large enterprises surveyed signals a more cautious investment stance, even as per-enterprise capex on new assets is projected to edge up from ₹79.4 crore in FY26 to ₹85.2 crore in FY27.Published on June 11, 2026