What is the most crucial sector
in the view of the Modi Govt.?

Never before has the Government of India allocated so much money for infrastructure projects for a year. The Union Govt.'' capital expenditure, as proposed in the Union budget, of ₹10 lakh crore, Or around $122 billion for the upcoming FY, is mammoth. The spending is more than Kenya's nominal gross domestic product (GDP) or approx. The economy of Morocco.

Dedicating a significant expenditure to a single sector is a new phenomenon in India. Three years ago, in pre-Covid FY of 2019- 20, the Centre's total capital investment expenditure was only ₹3.4 lakh crore.

The expenditure for the roads and highways sector has increased 22 percent YoY to Rs 2.9 lakh crore for FY 2023 - 24 versus the higher-than-expected spending of Rs 2.4 lakh crore in FY 2022 - 23. "This sums up the 14 percent YoY higher allocation to National Highways Authority of India (NHAI), 44 percent YoY higher allocation to road works, and flat allocation to PM Gram Sadak Yojana,". This means the bidding for road projects and construction will get a major boost in FY 2023 - 24.

Anand Rathi, Founder & Chairman of Anand Rathi Group, said - a 33 percent boost in capital outlay to Rs 10 lakh crore (the highest ever) will work a long way in building ports, roads, and airports that are crucial for making India a reliable investment destination. The Investment of Rs 2.4 lakh crore in Railways is also praiseworthy. Boost to mammoth infra-public spending before the 2024 General Elections indicates that Modi Govt. has planned to go into public with a solid performance that not only makes the economy strong but also makes the lives of the citizens and small businesses smooth and time-saving.

This major push for infra by the Centre Govt. will increase demand for critical raw materials, including concrete, cement, and steel, as more construction projects will be executed on the ground. The increase in the expenditure for railways is 2.40 lakh crore, and PMAY or the Pradhan Mantri Awas Yojana, with a 66 percent increase to over Rs 79,000 crore, will undoubtedly give a significant boost to the infra sector. The creation of 50 new airports and 100 vital transport infra projects for last-mile connectivity forecasts well for the cement industry and would generate hundreds of thousands of jobs. The decision for the expanded public expenditure would immensely help reduce the unemployment issue, which has been a significant challenge for the government.