Infrastructure Creation supports India’s transition towards Modern-Integrated economy | Current Affairs | Vision IAS

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In Summary

  • Public capital expenditure rose from ₹2 lakh crore (FY15) to ₹12.2 lakh crore (FY27).
  • Infrastructure development faces challenges like finance, corruption, and environmental impact.
  • A comprehensive approach with innovative financing, governance, and community engagement offers benefits.

In Summary

Public capital expenditure increased from about ₹2 lakh crore (FY2014–15) to ₹12.2 lakh crore in FY2026–27. 

Though infrastructure development is fraught with challenges like financial constraints, corruption, environmental impacts, however, a comprehensive approach including innovative financing mechanisms, effective governance, and community engagement can offer great benefits. 

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RELATED TERMS

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Community engagement

The process of involving local communities in the planning, decision-making, and implementation phases of development projects, ensuring their needs and concerns are addressed and fostering social acceptance and support.

Effective governance

The exercise of authority and the implementation of policies and regulations in a manner that is transparent, accountable, participatory, and efficient, ensuring that public resources are used optimally and projects are completed successfully.

Innovative financing mechanisms

Refers to alternative methods of funding infrastructure projects beyond traditional government budgets, such as public-private partnerships (PPPs), infrastructure bonds, and blended finance to attract private capital.

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