Infrastructure

The Aim

to develop an industrial corridor that will eventually contribute more than 25% of India's GDP.

The Cost

USD 90 Billion

The journey from Mumbai to India's sixth largest city, Ahmedabad, takes about eight hours by train.

But by 2023, this journey will be slashed to just two hours - with plans underway for a high-speed bullet train, direct from Japan.

The Indian government approved the USD 14.7 Billion bullet train system in December, 2015. The train will speed along the 315 mile track (508 km) at more than 180 miles (300 km) an hour.

Construction activity accounts for around 1O% of India's GDP and provides employment for more than 3O million people in the country.

It also accounts for more than 60% of total infrastructure investment.

The Indian construction industry's revenues are estimated to reach USD 22.7 Billion by 2020.

India pledged to invest around USD 1 Trillion in its five-year plan, between 2012 and 2017 according to a report by DMG events India Planning Commission.

According to India Brand Equity Foundation, India needs around USD 500 Billion to be spent on infrastructure development over the next five years.

7O% of the funds are required to improve power, roads and urban infrastructure.

USD 60 Billion will be invested in India's ports by 2020. The Sargamala project will deliver the roads and rail networks needed to link with the ports, to ensure goods are moved in and out of them quickly, efficiently and cost-effectively.

The Indian power sector alone has an investment potential of USD 250 billion in the next four to five years, providing immense opportunities in power generation, distribution, transmission and equipment.

Construction equipment is also a booming industry, with revenues reaching USD 6.5 Billion in 2014 and this will increase by 13% a year following the rapid infrastructure development being undertaken by the Indian government.

What is a Nimz?

National Investment and Manufacturing Zones (NIMZ) make doing business in India easy.

NIMZs are mega industrial zones or integrated townships with world-class supporting infrastructure.

The government offers a range of incentives including exemption from capital gains tax to promote these areas.

India plans to have 100 smart cities by 2022. 60 have been chosen so far the remaining will be announced by 2018.

Designed to change the way urban India lives, smart cities will enjoy uninterrupted power and water supply, Internet connectivity, e-governance, and quality infrastructure.

At least a dozen smart cities and several coastal economic zones will come under the enterprising Sagarmala project, which aims to lift Indias GDP growth by 2%

Russia recently pledged about USD 500 million towards India's infrastructure sector. Alongside this, Russia will invest into the National Infrastructure Investment Fund (NIIF), India's specialist fund for financing infrastructure, set up in 2015.

The Russian Direct Investment Fund (RDIF) will be investing USD 500 Million into the joint fund, to support investment opportunities and the growth of Russian businesses in India.

Russian companies are also working with india to develop its smart cities program.