The central government’s schemes have indeed led to significant debt accumulation. According to the Union Budget 2023-24 analysis, the government’s total expenditure is estimated to be Rs 45,03,097 crore, a 7.5% increase over the revised estimate of 2022-23 ¹.

The breakdown of expenses reveals that revenue expenditure is expected to increase by 1.2% to Rs 35,02,136 crore, while capital expenditure is expected to rise by 37.4% to Rs 10,00,961 crore. This significant increase in capital expenditure is largely due to investments in transport infrastructure, including railways, roads, and bridges ¹.

The government’s debt situation is further compounded by the fiscal deficit, which is targeted at 5.9% of GDP in 2023-24. This means that the government will need to borrow significantly to finance its expenses, adding to the debt burden ¹.

Some of the key areas where the government is incurring significant expenses include:

• Infrastructure Development: The government has allocated substantial funds for infrastructure development, including transport and urban infrastructure projects.
• Social Welfare Schemes: The government is also investing heavily in social welfare schemes, such as healthcare, education, and poverty alleviation programs.
• Defence Expenditure: Defence expenditure is another significant area of spending for the government.

Overall, while the central government’s schemes are aimed at promoting economic growth and social development, they have indeed led to significant debt accumulation, which needs to be carefully managed to ensure long-term fiscal sustainability.