Lucknow, June 25 -- For the second consecutive financial year, Uttar Pradesh is all set to outpace other states in terms of capital expenditure. A report prepared by the Bank of Baroda (BOB) has projected the state to account for 16.3% of the country's total capital expenditure in FY 2025-26-the highest among all states. After leading in FY 2024-25, Uttar Pradesh is set to maintain a strong position in the ongoing financial year, said the state government on Tuesday. Capital expenditure refers to the amount spent by governments on the construction or acquisition of fixed assets such as roads and highways, schools and hospitals. It is an expenditure made for future infrastructure and development. According to a recent report by the Bank of Baroda, the combined capital expenditure of 26 Indian states is projected to reach Rs 10.2 lakh crore in FY 2025-26, up from Rs 8.7 lakh crore in the previous fiscal year. The report highlights that Uttar Pradesh (16.3%), Gujarat (9.4%), Maharashtra (8.3%), Madhya Pradesh (8.1%), and Karnataka (7.6%) will together account for more than 50% of the total capital spending. Uttar Pradesh's top position in this list signals its rapid progress in infrastructure and industrial development. In FY 2024-25 as well, UP led with the highest capital expenditure share of 16.9%, followed by Maharashtra (10.9%), Gujarat (8.1%), Madhya Pradesh (7.5%), and Odisha (6.4%), said the state government. UP leads in revenue generation The report also estimates that the combined revenue of 26 states will grow by 10.6% to Rs 69.4 lakh crore in FY 2025-26. Revenue receipts are expected to increase by 12.3%, and capital receipts by 6.6%. Uttar Pradesh will again lead with a 13.3% share in total revenue collection, followed by Maharashtra (11.3%), and Madhya Pradesh, Karnataka, and Rajasthan (5.9% each)....