Andhra Pradesh has catapulted to the top of India’s capital expenditure rankings, with a nearly 17-fold increase in FY24. The state’s capex soared to Rs 19,240 crore in the year ended March 31 from Rs 1,138 crore in the previous fiscal year, according to finance ministry data.
Telangana, which was carved out of Andhra Pradesh in 2014, also displayed robust performance with a 175 percent increase in capital expenditure, rising to Rs 42,327 crore in FY24 from Rs 15,380 crore in the previous fiscal.
Similarly, Meghalaya reported a strong surge, with its capex growing by 91 percent — increasing from Rs 1,693 crore in FY23 to Rs 3,236 crore in FY24. Other states such as Gujarat and Jharkhand also registered significant capex growth. Gujarat recorded a 63 percent rise to Rs 51,425 crore and Jharkhand achieved a 45 percent increase to Rs 15,989 crore.
Several states reported significant contractions in their capex. Mizoram reported the sharpest decline at 50 percent, with its capex falling from Rs 1,025 crore in FY23 to Rs 509 crore in FY24. Manipur reported a 27 percent reduction. Himachal Pradesh (HP), Punjab and Karnataka also posted negative growth. HP’s capex dropped by 24 percent, Punjab and Karnataka reported a decline of 19 and 11 percent, respectively. Punjab’s capex declined from Rs 5,869 crore in 2022-23 to Rs 4,743 crore in 2023-24.
Some north-eastern states displayed varying trends. While Arunachal Pradesh recorded zero growth in its capex, Assam managed to increase its spending by 34 percent. Other states, such as Kerala, Maharashtra and West Bengal saw moderate capex growth at 12, 22 and 30 percent, respectively.
Uttar Pradesh, the country’s most populous state, recorded a 6 percent growth. Goa’s capex increased by 2 percent. Tamil Nadu reported a marginal decline of 1 percent in its capex for FY24 at Rs 35,174 crore in 2023-24, as compared to Rs 35,518 crore in 2022-23.
The data, which excludes the Rs 1 lakh crore provided by the Centre under the special assistance scheme for capital investment, underscores the vast differences in capital spending across 28 states. While some states have ramped up their investment in infrastructure and development projects, others — particularly in the northeastern and northern regions — have struggled to maintain or increase their capex.
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