Economic Survey 2019: The country’s real challenge to build a robust and resilient infrastructure required to achieve the aspiration of a USD 10-trillion economy by 2032 lies in bringing adequate private investment across the country with participation of the public sector, according to the Economic Survey 2018-19. In a fast-moving world to maintain growth momentum, India has to develop its industry and infrastructure and it is necessary to clear the decks which are obstructing the way forward, said the Survey tabled in Parliament Thursday.
“In order to create a 10-trillion dollar economy by 2032, India needs a robust and resilient infrastructure. Public investment cannot fund the entire infrastructure investment requirements of the country,” it said. Further, the Survey said private players are usually eager to bring their capital into developed Indian states as compared to less developed states. “Therefore, the real challenge lies in bringing adequate private investment across the country with the collaboration of public sector,” it added.
The Survey said public-private partnerships are quintessential for addressing infrastructure gaps in the country. Giving a glimpse of how the industry and infrastructure fared in the previous fiscal, the Survey said industrial growth in terms of Index of Industrial Production (IIP) registered 3.6 per cent in 2018-19 as compared to 4.4 per cent growth rate in 2017-18. The moderation in IIP growth was mainly due to subdued manufacturing activities in third quarter and fourth quarter of 2018-19, it added.
Road construction in kilometres grew at the rate of 30 km a day in 2018-19 as compared with 12 km a day in 2014-15, it added. Rail freight and passenger traffic grew 5.33 per cent and 0.64 per cent, respectively, in 2018-19 as compared to 2017-18. At the same time, total telephone connections in India touched 118.34 crore in 2018-19, while installed capacity of electricity increased to 3,56,100 MW in 2019 from 3,44,002 MW in 2018, the Survey added. It, however, said along with physical infrastructure, provision of social infrastructure is also equally important as these two would determine where India will be placed in the world by 2030.