Driven by high capital expenditure (capex) and investment by the government in public goods, the Indian economy is expected to register a growth rate of 7.1-7.4 per cent in the current financial year, according to the National Institute of Public Finance and Policy (NIPFP). This is above the Reserve Bank of India's (RBI) forecast of 7 per cent. In its latest year-end macro-economic review released on Friday, the government body said that though the private sector capex is yet to pick up steam, it's the unprecedented increase in the government capex during the COVID-19 pandemic that is continuing to have reverberations and drive the growth trajectory upwards.