Rs 12.2 Lakh Crore Public Capex Proposed in FY 2026-27

Last updated: 01 February 2026


Quick Summary
The Union Budget for 2026-27 proposes a significant increase in public capital expenditure to Rs 12.2 lakh crore, aiming to sustain economic growth. Key infrastructure projects include seven high-speed rail corridors, a dedicated freight corridor, and the operationalisation of 20 new National Waterways. The budget also introduces measures to boost private developer confidence and promote indigenous manufacturing of seaplanes.

7 HIGH-SPEED RAIL CORRIDORS, A DEDICATED FREIGHT CORRIDOR AND 20 NEW NATIONAL WATERWAYS PROPOSEDINFRASTRUCTURE RISK GUARANTEE FUND TO BOOST THE CONFIDENCE OF PRIVATE DEVELOPERS SEAPLANE VGF SCHEME TO BE INTRODUCED TO INCENTIVIZE INDIGENOUS MANUFACTURING OF SEAPLANE While presenting the Union Budg
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FAQ :

The Union Budget 2026-27 proposes to increase public capital expenditure to Rs 12.2 lakh crore.

The budget proposes seven high-speed rail corridors, a dedicated freight corridor, and 20 new National Waterways to be operationalised over the next five years.

An Infrastructure Risk Guarantee Fund is proposed to provide prudently calibrated partial credit guarantees to lenders, strengthening confidence during infrastructure development.

The budget proposes to operationalise 20 new National Waterways, launch a Coastal Cargo Promotion Scheme, and set up training institutes and a ship repair ecosystem for inland waterways.

A Seaplane VGF Scheme will be introduced to provide support for operations, incentivising the indigenous manufacturing of seaplanes to enhance last-mile and remote connectivity.

The budget proposes an outlay of Rs 20,000 crore over the next 5 years for CCUS technologies.




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Finance news reporter covering taxation, GST, income tax, business compliance, and economy updates. I simplify complex financial topics into easy-to-understand articles for professionals, taxpayers, and business owners on leading finance and tax platforms.

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