[Answered] “Investment in infrastructure is essential for more rapid and inclusive economic growth.” Discuss in the light of India’s experience.

Basic infrastructure facilities in the country provide the foundation of growth. In the absence of adequate infrastructure the economy operates at suboptimal levels and remains distant from its potential and frontier growth trajectory. 

Investment in infrastructure is essential for more rapid and inclusive economic growth 

  1. Creation of Jobs – Infrastructure development such as road construction, real estate, railway construction, etc. is labour intensive, leading to increase in employment opportunities in formal and informal sectors and thus, fuelling domestic demand. 
  2. Farmer Income – Investment in infrastructure would play critical role in ensuring doubling of farmers income through focus on increased irrigation infrastructure and storage, processing and marketing infrastructure. 
  3. Health and Well-being: Infrastructure development of superior healthcare facilities, electronic health records and better equipped health infrastructure at primary levels. (Telemedicine) 
  4. Logistic Cost – Building world class roads, railways, ports, inland water ways, will cut down logistic costs and improve competitiveness and promote exports. This would bring more revenues to government and may promote socio – economic development. 

Government efforts to promote world class infrastructure – NIP, PM Gati Shakti Master Plan etc are in right direction. 

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