Infrastructure in India: The Present Status and Its Constraints

Abstract

Provision of adequate infrastructure, in terms of both quantity and quality, is very essential for the rapid achievement of sustainable economic growth, both by increasing productivity and by providing amenities that enhance the quality of life. The objective of this paper is to investigate the role played by infrastructure, grouped under physical, social and financial, in determining economic development in India over the different time periods. An attempt is also made to find out the existence of intra-regional disparities, in terms of infrastructure, among the states of India. Using Factor analysis and regression analysis, the paper finds that infrastructure plays a significant role in determining the inter-state level of development in India during the past quarter century. The paper at the end discusses various challenges and opportunities for the infrastructure development in India and its link with sustainable economic growth.