Previously a report stated that a surge from Rs 7.5 trillion in the current FY to Rs 10 trillion in FY24, may be see in capex. The government has launched 14 PLI schemes 2020 only. Expectedly such schemes may boost manufacturing by 500 billion dollar by 2025, according to a media house. The PLI schemes were put out with an outlay of Rs 51,311 crore in March 2020
The central government may make announcements of seven to eight new production-linked incentive (PLI) schemes in the upcoming Union Budget, to boost the privatisation further. Such schemes will cover segments such as textiles, electronic components, furniture, toys and leather, reported a media house.
There might be surge in capital expenditure target according to media reports. Previously a report stated that a surge from Rs 7.5 trillion in the current FY to Rs 10 trillion in FY24, may be see in capex.
A media house had reported that this will play important role for the NDA government too with the upcoming 2024 general election. Also, the Centre will keep tapping states and central public sector enterprises in order to raise their capex.
The government has launched 14 PLI schemes 2020 only. Expectedly such schemes may boost manufacturing by 500 billion dollar by 2025, according to a media house. The PLI schemes were put out with an outlay of Rs 51,311 crore in March 2020.
Mobile components, pharma ingredients and medical device manufacturing companies were given these schemes. Later then in November 2020 during second round, in total 11 schemes were rolled out with an outlay of Rs 1.46 trillion. Segments like food products, drones and telecom formed part of it.
The private investors faced a slowdown during the second half of FY23 and so responding to them, the centre is trying to give boost.
The demand side of the economy could not be impacted much through PLI schemes. During higher inflation, it means that there would be no surge in prices further, turning them into a safe choice.