THE EQUIPMENTS FOR A FIVE TRILLION ECONOMY

The impetus for developing world-class infrastructure means that CEVs are in the thick of it. Sumesh Soman and Ashish Bhatia put the landscape in perspective.

- Sumesh Soman and Ashish Bhatia

Infrastructure is the backbone of a growing economy. With the government targeting a USD five trillion economy on the back of USD 1.4 trillion expenditure earmarked by 2025, last year witnessed the announcement of a 33 per cent increase in the CapEx outlay to Rs.10 lakh crore, in the Union Budget 2023. As part of a ‘Green Growth’ agenda, due attention is committed to the building of the ‘Green Infrastructure’ of which ‘Green Mobility’ is a vital cog. Infrastructure development is known to have a multiplier effect on the economy, and the growing private sector investments have been hailed in recent times. The government announced an extension of the support to state governments for an additional year in a bid to spur investments in infrastructure. This outlay was capped at Rs.1.3 lakh crore. Citing the importance of public resources for road, rail and infrastructure development, railways were granted Rs.2.40 lakh crore at its highest outlay ever. This is estimated to be 9x of the 2013-14 outlay. The budget had the government identifying 100 critical infra and transport projects with an Rs.75,000 crore outlay in comparison. Regional air connectivity was given a boost too with the announcement of new infrastructure.