SIGNIFICANCE OF RS 100 LAKH CRORE INVESTMENT IN INFRASTRUCTURE

Indian Economy has indeed been drastically hit by the ongoing pandemic of COVID-19. To boost the sagging economy Prime Minister Narendra Modi on 15th August 2020 announced to spend Rs 100 lakh crores on The National Infrastructure pipeline project. While addressing the nation on 15th August (74th Independence Day) the Prime Minister highlighted Infrastructure Development and said there is a need to modify overall infrastructure development in the country. This development will certainly move India towards modernity at a faster pace. Due to this uncertain situation, there is a drastic decline in GDP and a lot of sectors are affected due to nationwide lockdown. Considering this India is becoming self-reliant in manufacturing and aiming to become a key supply chain for International companies For the integration of the Indian economy with all the other world economies, the Indian economy needs to invest in infrastructure projects. This also makes sure that the Indian economy is ready to compete at an international level. It not only makes the Indian economy a world economy but it also helps in the eradication of poverty in the country. Infrastructure investments ensure that India’s economy would experience an Inclusive Growth. Low-income inequality is a sign of a strong economy. And to ensure this, inclusive growth in the economy must be ensured and this is possible with more infrastructure investments. For the growth of micro, small and medium enterprises (MSME), MSME enterprises shall be able to compete on a large scale. To make sure this happens, MSMEs should have access to good Infrastructure. And because of the growth of such enterprises, there would be an increase in employment, especially in labour-intensive enterprises. More employment means less poverty. Which is much needed in developing nations like India. And one of the most overlooked issues is Urban Crowding. Due to a large displacement of people from Rural areas to Urban areas. And urban crowding does not ensure balanced growth in the nation. And this Urban Crowding can be prevented or it can be balanced only by a better infrastructure even in rural areas as people would not have to move to urban cities for better life and income.
The Prime Minister said the Indian Government has recognised 7000 infrastructure projects to balance the economy due to the ongoing pandemic. In developing countries throughout the world, there are approximately 2 billion people who lack access to clean water, sanitation, electricity, transport etc.