Private sector capex surges to 71.3% of new projects post-COVID, reshaping India's growth

India's capital expenditure landscape has shifted decisively toward the private sector. According to a macroeconomic report from Bank of Baroda citing CMIE data, private companies accounted for 71.3% of new project announcements in FY23–FY26, up sharply from roughly 54% in the pre-pandemic era.

The scale is substantial: private firms have announced ₹191 lakh crore in new investment projects over the last four years. This represents a structural reorientation of how India's economy is building itself.

Nearly 50% of these private capex plans are flowing into Green Electricity, EV Infrastructure, and Transport & Logistics. A significant additional portion is directed toward IT sector infrastructure, particularly AI Data Centers—signaling where private capital sees long-term returns.