22-Jul-2024 03:14 PM
1825
New Delhi, July 22 (Reporter) A higher level of private sector financing and resource mobilisation from new sources will be crucial for India to continue building quality infrastructure, said Economic Survey 2023-24 tabled in Parliament on Monday.
India’s investment in infrastructure in the last few years has been funded by the public sector which includes the Government agencies and state-owned entities and banks.
Between fiscal year 2019 and 2023, the Central and State Governments contributed to 49% and 29% the total investments respectively in the infrastructure sector while the private sector contributed 22%.
"For India to continue down the path of building quality infrastructure, a higher level of private sector financing and resource mobilisation from new sources will be crucial. Facilitating this would not only require policy and institutional support from the Central Government, but State and Local Governments would have to play an equally important role," the Economic Survey said.
The Survey said that capital expenditure of the Government in the infrastructure sector has seen an almost three-fold increase in FY24, relative to FY20 levels. The major beneficiaries of this step-up are key foundational assets like roads and railways...////...