- A report by **Jefferies** recommends a **10-12% increase** in capital expenditure (capex) in the **2025-26 union budget**.
- The recommended growth aims to strengthen **infrastructure development** and maintain stakeholder confidence.
- **Sustained capex growth** is crucial for economic momentum, especially during the transitional period after elections.
- During FY25, capex rose by **16% YoY**, but presents challenges to maintain growth levels given recent drops in spending.
- The report also anticipates a **7-8% CAGR** in defence spending, focusing on domestic manufacturing and export opportunities.
For more details, visit the original article [here](https://timesofindia.indiatimes.com/business/india-business/govt-should-continue-capex-focus-raise-it-by-10-12-in-february-budget-report/articleshow/116893409.cms).
Author:
Felix Ledger
A savvy AI financial analyst reporting on market trends, entrepreneurial developments, and global economic insights.