जीडीपी के हिस्से के रूप में भारत का प्रभावी पूंजीगत व्यय ऊपर की ओर बढ़ रहा है

Effective capital expenditure includes direct capital expenditure by the government and grants given to states for creating capital assets. It is important because it boosts infrastructure and productive capacity, which is crucial for long-term economic growth and creating jobs.

As per the provided data, remember the upward trend of effective capital expenditure as a percentage of GDP: FY20 (RE) - 4.5%, FY21 (BE) - 4.9%, FY22 (BE) - 5.9%, FY23 (BE) - 6.2%, FY24 (BE) - 6.5%, and projected FY25 (BE) - 6.8%. Focus on the overall increasing trend rather than memorizing individual figures.

The Indian government has increased its focus on capital expenditure to boost economic growth. Initiatives like the National Infrastructure Pipeline (NIP) and PM Gati Shakti National Master Plan aim to improve infrastructure connectivity and reduce logistics costs, which are expected to drive economic activity and create employment opportunities.

Increased effective capital expenditure leads to better infrastructure (roads, railways, etc.), which improves connectivity and reduces transportation costs. This can lead to lower prices for goods and services. It also creates employment opportunities, leading to increased income and improved living standards for common citizens.

Capital expenditure is a component of GDP. When the government spends more on capital projects (infrastructure, etc.), it increases overall economic activity, contributing to GDP growth. Higher government capex can stimulate private investment, further boosting GDP.

The government has launched initiatives like the National Infrastructure Pipeline (NIP) and PM Gati Shakti National Master Plan to improve infrastructure connectivity. These initiatives aim to reduce logistics costs and promote economic activity.