The government plans to increase capital expenditure significantly, from Rs 69,000 crore per month to Rs 1.16 lakh crore, in order to achieve the target of Rs 11.1 lakh crore.
This increase in spending is expected to support economic growth in the second half of the fiscal year.
According to Nilesh Shah from Kotak AMC, three main factors will drive this growth: increased consumption during festival and wedding seasons, higher government capital expenditure, and the positive impact of recent state election results on investor confidence.
Shah also emphasizes the need to balance welfare initiatives with growth strategies for a positive economic outlook in the coming months.