NEW DELHI: Prime Minister Narendra Modi’s active role and personal monitoring are responsible for the turnaround of the infrastructure sector, which suffered due to policy paralysis during the UPA regime, Finance Minister Nirmala Sitharaman said.
In a contrast to previous regime, the current government under the leadership of Modi has spearheaded a shift towards prioritising infrastructure development and capital expenditure with an aim to bolster the Indian economy.
Taking a dig at the Congress-led UPA regime from 2004-2014, she said, “@INCIndia-led UPA (2004-14) wasted India’s economic growth potential and left it among the ‘Fragile Five’ economies without focusing on effective infrastructure development. Under UPA, almost all aspects of India’s economic needs were mismanaged or ignored.” The UPA government’s noticeable and deliberate neglect of infrastructure creation not only denied India much-needed roads, railways, power, etc, but it also compromised India’s long-term economic potential, she said in a post on X.
“The UPA’s term was replete with examples of decision stasis. Cost overruns, stalled projects and lack of timely approvals were common between 2004-14,” she said.
“PM Modi’s active role has made the infrastructure turnaround possible. The PM has personally monitored the progress of projects, even those launched earlier, through the PRAGATI platform.
“This led to the successful completion of long-delayed projects. Through 43 PRAGATI meetings, PM Modi has reviewed projects worth Rs 17.36 lakh crore.”
Pointing out that infrastructure spending not only boosts GDP growth through its multiplier effects on consumption and investment, but also improves the long-term efficiency of the economy by reducing logistical constraints, she said, adding that an NIPFP study points out that every rupee directed towards capital expenditure in India increases economic output by Rs 4.8.