CPSE's Capex Reaches 51% of FY27 Target in First Half

Capital expenditure by 63 Central public sector enterprises (CPSEs) reached around ₹4.30 trillion during April-September 2026, up nearly 12% from the same period last year. The spending accounts for 51% of their combined FY27 capex target of ₹8.43 trillion. 

The pace was broadly similar to the previous year, when CPSEs had achieved nearly 52% of their annual target in the first half. However, spending in September alone fell 17% year-on-year to ₹93,636.13 crore. 

Railways and NHAI Lead Spending 

The Railway Board and National Highways Authority of India (NHAI) accounted for a large part of the first-half spending. 

The Railway Board spent ₹1.88 trillion, reaching 64% of its annual target. NHAI recorded capex of ₹85,228 crore, which was nearly 46% of its FY27 target. 

Oil PSUs Continue Capital Spending 

State-owned oil companies also maintained their investment pace during the first half despite under-recoveries amid higher crude prices and supply disruptions linked to the West Asia conflict. 

ONGC spent ₹14,552 crore during April-September and achieved nearly 49% of its annual target. Bharat Petroleum, Indian Oil, Hindustan Petroleum and Oil India each crossed 40% of their respective annual capex targets. 

Centre Targets ₹12.22 Trillion Capex 

Capital expenditure is one of the performance indicators used under the DPE's annual Memorandum of Understanding framework, along with return on net worth and EBITDA. 

For FY27, the Centre has set its own capex target at ₹12.22 trillion. It spent ₹5.10 trillion during April-August, reaching nearly 42% of the annual target, according to the latest Controller General of Accounts data. 

Read More: RBI Raises FY27 GDP Growth Forecast to 7.1% From 6.7%; Q2 Pegged at 7.2%, Q3 at 6.9%! 

Conclusion 

CPSEs have maintained a similar first-half spending pace to FY26, with railways, highways and state-owned oil companies accounting for a significant share of the investment. 

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