Ready for the bill: FM Sitharaman’s interim budget emphasizes growth

The government has been spending heavily and an increasing share of that expenditure is going towards capital expenditure (capex). The interim budget mentions a target of Rs 11.1 trillion in capital expenditure. This is more than triple the Rs 3.1 trillion seen in 2018-19. This is financed by an increase in direct and indirect tax collection. Spending on agriculture and rural areas has fallen relative to the size of the economy, and there has been limited growth in spending on health and education. The Minister of Finance has indicated that budgetary discipline will be maintained.