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Growth And Infrastructure Investment In India: Achievements, Challenges, And Opportunities

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  • Aswini Kumar Mishra
  • Kunapareddy Narendra
  • Bibhu Prasad Kar

Abstract

The paper analyses the recent scenario of infrastructure investment in India, with the recognition that inadequate infrastructure is one of the major constraints on India’s ability to sustain high GDP growth. It conducts an overview of the trends in infrastructure investment from the 10th Five Year Plan onwards, and tries to examine the linkage between infrastructure and economic growth. The results exhibit a very high rate of return and also highlight that, since resource constraints will continue to limit public investment in infrastructure in other areas, Public Private Partnership (PPP) project-based development needs to be encouraged wherever feasible.

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Bibliographic Info

Article provided by Faculty of Economics, University of Belgrade in its journal Economic Annals.

Volume (Year): 58 (2013)
Issue (Month): 196 (January – March)
Pages: 51-70

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Handle: RePEc:beo:journl:v:58:y:2013:i:196:p:51-70

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Related research

Keywords: Infrastructure; economic growth; Public Private Partnership; Cobb-Douglas Production function and Principal Component Analysis (PCA);

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References

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  1. Matthew Lambrinidis & Yannis Psycharis & Antonis Rovolis, 2005. "Regional allocation of public infrastructure investment: The case of Greece," Regional Studies, Taylor & Francis Journals, vol. 39(9), pages 1231-1244.
  2. Wei Zou & Fen Zhang & Ziyin Zhuang & Hairong Song, 2008. "Transport Infrastructure, Growth, and Poverty Alleviation: Empirical Analysis of China," Annals of Economics and Finance, Society for AEF, vol. 9(2), pages 345-371, November.
  3. Miguel Ramirez, 2004. "Is public infrastructure spending productive in the Mexican case? A vector error correction analysis," The Journal of International Trade & Economic Development, Taylor & Francis Journals, vol. 13(2), pages 159-178.
  4. Dipankar Dasgupta & Koji Shimomura, 2006. "Public infrastructure, employment and sustainable growth in a small open economy with and without foreign direct investment," The Journal of International Trade & Economic Development, Taylor & Francis Journals, vol. 15(3), pages 257-291.
  5. Ghosh, Buddhadeb & De, Prabir, 2005. "Investigating the linkage between infrastructure and regional development in India: era of planning to globalisation," Journal of Asian Economics, Elsevier, vol. 15(6), pages 1023-1050, January.
  6. Douglas Sutherland & Sonia Araujo & Balázs Égert & Tomasz Kozluk, 2009. "Infrastructure Investment: Links to Growth and the Role of Public Policies," OECD Economics Department Working Papers 686, OECD Publishing.
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