New Delhi, Feb. 1 -- Finance Minister Nirmala Sitharaman has allocated Rs 11.21 lakh crore for capital expenditure in the Union budget for 2025-26.

This marks a 0.9 per cent increase over last year's Budget Estimate of Rs 11.11 lakh crore, but if compared with revised estimate of 2024-25 at Rs 10.18 lakh crore, the budget estimate of 2025-26 is substantially higher.

A capital expenditure, or capex, is used to set up long-term physical or fixed assets.

The defence sector capital expenditure has got the biggest hike of 4.6 per cent for the financial year 2025-26 at Rs 1.8 lakh crore.

In 2024-25 (budget estimate), it was Rs 1.72 lakh crore, which was later downwardly revised to Rs 1.59 lakh crore.

The defence sector capex target for 202...