Infrastructure sector in India - Growth, Trends, COVID-19 Impact, and Forecasts (2022 - 2027)

Infrastructure sector in India - Growth, Trends, COVID-19 Impact, and Forecasts (2022 - 2027)

· The Infrastructure in India is estimated to grow at a CAGR of approximately 7% during the forecast period.

· Government plans to invest about INR 102 lakh crore on infrastructure projects by 2024-25. The five-year-long National Infrastructure Pipeline (NIP) will enter its second year in FY21, during which INR 1,950,397 crores are to be invested. About INR 19.5 lakh crore has been budgeted during FY21 as part of the NIP. Urban infrastructure, road transport, energy, and Railways account for about 70% of allocation this 2020.

· About 42% of the projects in the NIP are under implementation, which means construction work is already going on. Another 19% is under a development stage, while a big 31% is still in the conceptual stage

· During the fiscals 2020 to 2025, sectors such as Energy (24%), Roads (19%), Urban (16%), and Railways (13%) amount to around 70% of the projected capital expenditure in infrastructure in India

Key Market TrendsIncrease in Road infrastructure

Development of highways would be undertaken, including the development of 2,500 km access control highways, 9,000 km of economic corridors, 2,000 km of coastal and land port roads, and 2,000 km of strategic highways. FASTag mechanism encourages greater commercialization of highways enabling the NHAI to raise more resources. It was proposed to monetize at least 12 lots of highway bundles of over 6,000 km before 2024. The government has allocated INR 1,963,943 crore for road infrastructure in Budget.

Increase in FDI:

Multilateral institution Asian Development Bank (ADB) announced a USD 100 million funding for the Indian infrastructure sector through the government-promoted NIIF. Foreign investments are crucial for India as the country for overhauling its infrastructure sector such as ports, airports, and highways to boost growth. Infrastructure is one of the sectors which gets the highest foreign direct investment (FDI). Inflows in the verticals such as townships, construction development projects, and housing were recorded at USD 25.5 billion between FY00 and FY19. Schemes such as ‘Housing for all’ and ‘Smart Cities Mission’ have benefitted from these investments. Saudi Arabia is looking to make investments in India potentially worth USD 100 billion in the areas of energy, refining, petrochemicals, infrastructure, agriculture, minerals, and mining.

Competitive Landscape

The report covers the major players operating in the Infrastructure sector in India. The market is Fragmented, the market is expected to grow during the forecast period due to the inflow of FDI(Foreign Direct Investment) in the infrastructure sector and the government allocated INR 100 Lakh Crore in infrastructure and many other factors are driving the market.

Additional Benefits:

• The market estimate (ME) sheet in Excel format
• 3 months of analyst support

Companies Mentioned

IBM Corporation
Oracle Corporation
Internap Corporation
Packet Inc. (An Equinix Inc. Company)
Scaleway Inc.
Amazon Web Services Inc
Rackspace Inc.
CenturyLink, Inc.
LightEdge Solutions, Inc

Please note: This publisher does offer titles that are created upon receipt of order. If you are purchasing a PDF Email Delivery option above, the report will take approximately 2 business days to prepare and deliver.