Giving a facelift to transport infrastructure will be a key focus for Narendra Modi led NDA government as it begins its second tenure. According to a study by credit rating agency ICRA, the government would decisively take forward some of the mega initiatives it had launched during its first tenure to improve transport infrastructure.
“ The new Government is likely to maintain the continuity on the major programmes launched during its last tenure viz. Bharatmala Pariyojana (Highways), Sagarmala (Ports), railway station redevelopment programme, inland waterways development, Namami Gange, Swachh Bharat Mission, UDAN (Airports), AMRUT and Smart Cities (Urban Infra). The last five-year period (FY2014-FY2019) had witnessed huge spending by the Government on infrastructure segments like roads (increased by 353% between FY2015 to FY2019), railways (increased by 146% times between FY2015 to FY2019), metro rail, etc, which is likely to increase further over the next five years,” the report said.
According to Shubham Jain, Vice-President and Group Head, Corporate Ratings, ICRA: “The capital investment in the infrastructure sector has been proposed at Rs. 100 trillion over the next five years – which is a huge increase from the current level of capital investment in the sector. Amongst the key segments, transport infrastructure is expected to see a major jump with an estimated Rs. 25-30 trillion of capital outlay over the next five years.”