The skyline of Mumbai, one of India鈥檚 largest cities

The spending plan was unchanged from the interim budget presented in February before the national elections.

This is the first budget of Mr Modi鈥檚 third term after he won re-election, albeit with a reduction in votes. Modi鈥檚 Bharatiya Janata Party (BJP) failed to achieve an outright parliamentary majority at the election in June.

Finance Minister Nirmala Sitharaman said that the spending of 11.11 trillion rupees was equivalent to approximately 3.4% of the country鈥檚 Gross Domestic Product (GDP).

Mr. NS Rao, Group CFO, of Indian-based waste management and infrastructure construction services Ramky Group, said, 鈥淲e applaud the Finance Ministry and the Indian government鈥檚 enduring dedication to economic progress. Their decision to retain the Rs 11.11 lakh crore capex outlay for infrastructure over five years, alongside fiscal support, is warmly welcomed.

鈥淭his commitment, along with attracting private investment through viability gap funding and a market-driven financing framework, promises a bright future for infrastructure.鈥�

The India government has increased spending on infrastructure over the last few years 鈥� as a percentage of GDP, longer-term capital expenditure has risen to 3.4% in the current year from around 1.7% in 2019-20.