Explanation:

The Capital Budget is an account of the assets as well as liabilities of the central government, which takes into consideration changes in capital – both capital expenditure and capital receipt.

Capital receipts are loans raised by the government from the public which are called market borrowings, borrowing by the government from the Reserve Bank and commercial banks and other financial institutions, loans received from foreign governments and international organisations, and recoveries of loans granted by the central government.

Capital Expenditure includes expenditure on the acquisition of land, building, machinery, equipment, investment in shares, and loans and advances by the central government to state and union territory governments, PSUs and other parties.