Projections of Investment in Infrastructure during the Eleventh Plan

Abstract

It is generally recognised that lack of infrastructure is one of the major constraints on India's ability to achieve 9 to 10% growth in GDP, which is the rate required to make a significant difference to living conditions in the country and achieve inclusiveness over the next ten years. The Eleventh Five Year Plan has set an ambitious target of increasing total investment in infrastructure from around 5% of GDP in the base year of the Plan 2006-07 to 9% by the terminal year 2011-2012. This paper spells out the specific assumptions underlying this projection which result in a total investment requirement of Rs. 2,056,150 crore ($ 514 billion) for ten infrastructure sectors over the five year period.