India will keep up its spending on roads and bridges to ports to sustain economic growth while maintaining fiscal prudence, Finance Minister Nirmala Sitharaman said, as she begins preparations for the next federal budget.

The growth momentum “should not be lost out at all,” Sitharaman said at an event in Mumbai on Monday. Public investment remains important until the private sector steps up to expand or build new capacity, she said, adding, “We need to spend and spend, but it has to be with responsibility.”The government’s capital expenditure allocation has surged more than sixfold to 12.2 trillion rupees ($129 billion) in the year ending March from the 2014-15 levels. The increase reflects the Narendra Modi administration’s focus on ramping up the nation’s infrastructure.

Yet, the commitment to sustain these investments risks adding pressure on public finances as the Middle East conflict keeps oil prices elevated, increasing the import bill and pushing up the subsidy burden. New Delhi is targeting a fiscal deficit of 4.3% of gross domestic product for the year.

The capex push has supported growth, but spending must be balanced with fiscal discipline, Sitharaman said.

Preparations are underway for India’s next federal budget, which is usually unveiled in early February. Sitharaman is set to present annual accounts for the 10th straight time, extending her record for the most consecutive budgets presented by an Indian finance minister.

Sitharaman also struck an upbeat tone on the broader economy, pointing to strong tax collections, healthy banks and robust economic activity as evidence of resilience despite global challenges. “India needs a lot of optimism,” she said. “India needs reduction in cynicism.”