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Budget 2023: The key to increasing the capex multiplier lies within outliers

With so much headroom on capacity utilisation available and myriad uncertainties looming ahead, it is natural for boardrooms to be circumspect about committing fresh investments

January 25, 2023 / 09:22 AM IST
Budget 2023: The key to increasing the capex multiplier lies within outliers

An increased focus on social sector spending is only logical given the government’s political priorities.

There is now near consensus that the forthcoming Budget for FY24 on February 1 is likely to focus, among other things, on at least two things: spending on social sector schemes and continuing attempts to drum up a higher investment ratio by not only directly allocating some money to capital expenditure but also trying to coax states and the private sector to join in. The first part is relatively easy; it is the second part that remains fairly complex...

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