The slightly lower capex by 2025–26, still thought above 2023–24 levels, reflects cautious planning after a strong 2024–25
Capital spending (CAPEX) for the private sector of approximately a period of four years that varies from 2021-22 to 2024-25 has been exhibited and in 66 percent, showed a prospective survey by the Ministry of Statistics. However, the survey also found that the CAPEX planned in the current prosecutor (2025-26) shows a decrease of around 25 percent.
Athegh The sample size was 5,380 companies, only a total of 2,172 companies presented complete information during the five years of the reference period, forming a fixed panel about the results.
The average gross fixed asset (GFA) by company in the private corporate sector was estimated at ₹ 3,151.9 million rupees in 2021–22, which increased by 4 percent to ₹ 3,279.4 million rupees in 2022–23, and more Grw 2023–24. The highest GFA per company, exceeding ₹ 14,000 million rupees, was observed in the category of the industry ‘Electricity, gas, steam and air conditioning’ supply, followed by ‘manufacturers’ companies (₹ 7000 million rupees to ₹ 10000 million rupees).
The companies participated mainly in manufacturing activities represented more than 65 percent of the total GFA in the private corporate sector in the last three years from 2021-22 to 2023-24 followed by supply of companies, gas, steam and air).
In 2021–22, the real estimated capex by company was ₹ 109.3 million rupees, compared to the proposal value of ₹ 102.7 million rupees, resulted in a realization ratio or around 106 percent. A similar trend was observed in 2022–23, where the estimated value of CAPEX real per company reached 148.8 million rupees against a proposal value of ₹ 133.3 million rupees, which also produced an realization rate exceeding 100 percent.
However, by 2023–24, the realization ratio is 99.7 percent, with the real CAPEX estimated by company in ₹ 107.6 and the capex proposed to ₹ 107.9. The provisional CAPEX estimated by company to acquire new assets in 2024–25 is ₹ 172.2 million rupees. Among the sectors, manufacturing companies represent the greatest participation in 43.8 percent, followed by those in ‘Information and Communication Activities’ (15.6 percent) and ‘transport and storage activities’ (14 percent).
Speaking about the current prosecutor, the survey said that of the companies that respond 3,064, 2,172 reported their intentions of Capex. The data indicates a cautious approach by respondents when declaring their capital spending plans. Therefore, “CAPEX data by 2025 – 26 must be interpreted with caution, considering the conservative approach and the apprehension shown by the companies that responded in the reports of reports,” said the ministry. However, the results show a general increase of around 24 percent in the duration of the aggregate CAPEX (not weighted) 2021-22 to 2025-26 for this fixed panel.
The Ministry also said that Capex tends to increase when companies pursue growth strategies instead of current operations in Mintain. Despite the challenges such as weak demand, geopolitical tensions and high indebted costs, about 30 percent of companies planned to invest in improvements in 2024–25, which supports the strong increase in CAPEX for that year. The slightly lower CAPEX by 2025–26, still thought above 2023–24 levels, reflects cautious planning after a strong 2024–25. In general, “the trend indicates a growing corporate trust and a judicious approach to investment in the midst of improving economic certainty,” he said.
More like this
Posted on April 30, 2025
