Fast-tracking infra projects will give good signal: P Hinduja

NEW DELHI: With infrastructure holding the key to India's economic recovery, government should fast-track projects in this sector to send positive signals to investors, noted industrialist Prakash Hinduja has said.

A $250 billion investment is needed just to boost basic urban infrastructure to get the lumbering economy to grow faster.

Hinduja, Chairman of the Hinduja Group of Companies in Europe, said there is also a need to concentrate on enhancing the India's technological and manufacturing prowess.

"Programmes on infrastructure, many projects are not moving. Foreigners have invested in infrastructure... If the government works on them and puts them on fast track, this will give a good signal to the world," Hinduja told PTI.

Praising the efforts of the government led by Prime Minister Narendra Modi, he said government's track record in the last 5 months has generated a positive sentiment among the global business community.

"The way government has been moving in these 5 months gives a good signal to the world. Stock market has gone up. Different projects are coming in. Investments are coming from abroad. In these 5 months so much movement has happened. It gives a proper feel that change is happening," he added.

Government has already made revamping the infrastructure sector in the country as its top priority with Modi chairing a high-level meeting earlier this month to review the progress on inter-linking connectivity-related infrastructure sectors.

Reviewing work in connectivity-linked infrastructure sectors, Modi has emphasised on faster inter-ministerial coordination and resolution of issues and laid stress on achieving visible results in clear time frames.

He has also directed strict monitoring of projects, based on monthly completion of targets.

Last month, stressing on the need to scale up urban infrastructure, Urban Development Minister M Venkaiah Naidu said the country needs to invest an estimated $250 billion over next 20 years for basic urban infrastructure like roads, transport and water supply.

Analysts say that infrastructure in India is poised for an explosive growth. Consultancy firm PwC in a report has said India's share of the overall Asia-Pacific infrastructure market is expected to continue to grow, reaching around 12.5 per cent or $6.6 trillion by 2025.

Besides infrastructure, Hinduja said, the government also needs to concentrate on developing the technological and manufacturing potential of the country.

He added: "The most important issue for India is technology and manufacturing. Like 'Make In India' is a good concept, but how to make that happen. You need technology. So slogan is that technology is top priority to be brought into the country where we are able to learn the skills and learn other programmes."