The Interim Budget 2024, presented by Finance Minister Nirmala Sitharaman, marks the fourth consecutive year of increased capital expenditure for infrastructure.
The Capital Expenditure for infrastructure jumps 11.1% to ₹11.11 lakh crore (3.4% of GDP), aligning with market expectations. The allocated ₹11.11 lakh crore represents a 3.4% share of GDP, meeting market expectations. Sitharaman cautioned against expecting new announcements as the full FY25 budget will be presented after the new government formation.
The 50-year interest-free loans to state governments have been extended for another year under the government’s Gati Shakti Master Plan. The Gati Shakti Master Plan, also known as the National Master Plan for Multi-modal Connectivity, a project of Prime Minister Narendra Modi, involves holistic policymaking for the seven infrastructure sub-sectors, with one digital portal that can be accessed by all stakeholders for real-time information.
Implementing Railway Economic Corridors
Three major economic railway corridor programmes will be implemented under the PM Gatishakti National Master Plan. These are (1) energy, mineral and cement corridors, (2) port connectivity corridors, and (3) high-traffic density corridors. The government will also focus on converting 40,000 normal rail bogies to the Vande Bharat standards to enhance the safety, convenience and comfort of passengers.
She said that creating the corridors will decongest high-traffic corridors and also improve passenger train operations. While railway corridors will improve the efficiency of logistic services and reduce cost, conversion of coaches will increase the safety, convenience and comfort of passengers, she said.
Talking about Metro and NaMo Bharat trains, FM Nirmala Sitharaman said, “We have rapid urbanization and fast-expanding middle class in India. Metro rail and NaMo Bharat can be the catalyst for the required urban transformation. Expansion of these systems will be supported in large cities focusing on transit-oriented development.
