New Delhi, Oct. 12 -- The government's capital expenditure has surged sharply in the first five months (April-August) of FY26. The Centre has already spent nearly 39% of its annual outlay of Rs.11.2 trillion, marking a robust 43% year-on-year jump. But a closer look at the numbers tells a more nuanced story. Mint breaks it down.

Is the capex growth artificially inflated?

The Centre's 43% capex growth in April-August is inflated by several temporary factors. A part of the surge reflects a low base, as spending was restrained in the same period last year due to elections.

Beyond that, two large allocations have boosted the headline number without creating new assets. Of the Rs.4.32 trillion capital expenditure so far, Rs.50,000 crore has...