PTI New Delhi

Intended capital expenditure of the private corporate sector is estimated to decline by about 25% to Rs 4.88 lakh crore in 2025-26 from Rs 6.56 lakh crore in FY25, said a government survey report released on Tuesday.

According to the Forward-Looking Survey on Private Sector CAPEX Investment Intentions between November 2024 and January 2025, conducted by the Ministry of Statistics & Programme Implementation, the actual capex in the private corporate sector was Rs 3.94 lakh crore in 2021-22, Rs 5.72 lakh crore in 2022-23 and Rs 4.22 lakh crore in 2023-24.  A total of 2,172 enterprises submitted complete information for all five years of the reference period, forming a fixed panel.

The aggregated (unweighted) capex data from this panel of enterprises serves as a reliable basis for analysing capital expenditure trends over the five-year period, the ministry said. The results show an overall increase of 66.3% in aggregate capex (unweighted) over the four-year period from 2021-22 to 2024-25. Out of the 3,064 responding enterprises, 2,172 reported their capex intentions for 2025-26.  The data indicates a cautious approach by respondents in declaring their capital expenditure plans.

Therefore, the report said the Capex data for 2025-26 should be interpreted with caution, considering the conservative approach and apprehension shown by the responding enterprises in reporting these figures.  However, the results show an overall increase of 23.9% in aggregate capex (unweighted) from 2021-22 to 2025-26 for this fixed panel of 2,172 enterprises, the data showed.

The average gross fixed asset (GFA) per enterprise in the private corporate sector was estimated at Rs 3,151.9 crore in 2021-22.  It increased by 4 per cent to Rs 3,279.4 crore in 2022-23 and further grew by 27.5% to reach Rs 4,183.3 crore in 2023-24. The highest GFA per enterprise, exceeding Rs 14,000 crore, was observed in the industry category of 'Electricity, Gas, Steam, and Air Conditioning Supply', followed by 'Manufacturing' enterprises (Rs 7,000 crore to Rs 10,000 crore), the report said. In 2021-22, the estimated actual capex per enterprise was Rs 109.3 crore compared to the proposed value of Rs 102.7 crore, resulting in a realisation ratio of 106.41 per cent.