PM calls for public private participation in infra
Underlining greater role for private players in infrastructure building, Prime Minister Dr. Manmohan Singh said that the government’s strategy for infrastructure development is to involve combination of public investment supplemented by private investments wherever feasible. Inaugurating the conference on Building Infrastructure: Challenges and Opportunities in New Delhi today, Dr. Singh said: “Our experience shows that private participation in infrastructure development is indeed a feasible proposition and can help expand infrastructure much faster than it would have relying only on public resources.”
He said that effective private sector participation in infrastructure would require a large mobilisation of resources through financial institutions. “Preliminary exercises suggest that investment in infrastructure will have to expand to US$1000 billion in the Twelfth Five Year Plan. I urge the Finance Ministry and the Planning Commission to draw up a plan of action for achieving this level of investment,” Dr. Singh said.
He said the 10% GDP growth rate for the country is ambitious but not impossible to achieve. “It has been achieved by other emerging economies in Asia. However, it is not something that will happen automatically. We would need continual improvements in our policy regime and in our implementation procedures,” he added.
Dr. Singh emphasised on inclusive growth for the country which includes infrastructure development for both modern and rural economy. “Infrastructure must be defined broadly to include highways and roads of all kinds including rural roads, railways, air and water transport, irrigation, electric power, telecommunications, water supply and sewerage system,” he said.