New Delhi, Feb 7 : Big ticket infrastructure projects in the highways, railways and ports sector will continue to drive growth in the Indian economy as the government has stepped up the outlay for these investments in the interim budget for 2024-25.

Government investments in large infrastructure projects create jobs and incomes that have a multiplier effect on the economy as the demand for products such as steel and cement also goes up which leads to more private investments and employment.  With the creation of additional jobs, the demand for consumer goods also increases leading to a further acceleration in the country’s economic growth rate. 

To ramp up the virtuous cycle of investment and job creation the budget for 2023-24 had ramped up the capital expenditure outlay on infrastructure projects by 37.4 per cent to a whopping Rs10 lakh crore from Rs 7.28 lakh crore in 2022-23.  The interim budget presented by Finance Minister Nirmala Sitharaman on Thursday has further enhanced by 11.1 per cent the allocation for infrastructure projects to a whopping Rs 11.11 lakh crore to spur growth.