Private Sector to Boost Road Projects in India from 2025, Says Report
A report by Antique Stock Broking highlights that private sector investment in India’s infrastructure, especially in road projects, will increase from the financial year 2025. Government capital expenditure, which has been the main driver, will moderate.
The report predicts road project awards will rise from 8,581 km in FY24 to 10,000 km in FY25 and 12,000 km in FY26. The Bharatmala scheme and diversification into railways, solar energy, and water management are also key factors.
Key Points
- Private sector investment in infrastructure to increase from FY25.
- Government capital expenditure to moderate.
- Road project awards to rise from 8,581 km in FY24 to 12,000 km in FY26.
- Bharatmala scheme projects worth Rs 2.4 lakh crore yet to be awarded.
- Diversification into railways, solar energy, and water management.
Doubts Revealed
Private Sector -: The private sector refers to businesses and companies that are not owned by the government. They are run by individuals or groups of people who invest their own money to make a profit.
Road Projects -: Road projects involve building and maintaining roads and highways. These projects help improve transportation and make it easier for people and goods to move from one place to another.
Antique Stock Broking -: Antique Stock Broking is a company that helps people buy and sell stocks and shares. They also provide reports and analysis about the financial market.
Infrastructure -: Infrastructure includes the basic physical systems of a country, like roads, bridges, railways, and water supply. These systems are essential for the economy to function smoothly.
Financial Year 2025 -: The financial year is a 12-month period used for accounting purposes. In India, it starts on April 1 and ends on March 31 of the next year. So, the financial year 2025 will be from April 1, 2024, to March 31, 2025.
Government Capital Expenditure -: Government capital expenditure is the money the government spends on building and improving infrastructure like roads, schools, and hospitals. It helps in the development of the country.
Bharatmala scheme -: The Bharatmala scheme is a government project in India aimed at building and improving highways and roads across the country. It helps in better connectivity and transportation.
Diversification -: Diversification means expanding into different areas or sectors. In this context, it means investing in various projects like railways, solar energy, and water management, not just roads.
