New Delhi, Nov. 6 -- India is stepping up efforts to sustain growth-driving capital expenditure (capex) as the economy faces mounting external headwinds, including elevated energy prices amid geopolitical tensions in West Asia and uncertainty over global trade.

The Union finance ministry has asked government departments and ministries to prioritise capital expenditure and ensure they meet their annual capex targets, two officials aware of the development said. The idea is to prevent economic activity from flagging amid external headwinds by pulling all domestic growth levers and allowing more time for private investment to take root, they said, requesting anonymity.

In meetings over the past month to finalise revised estimates (RE) for ...