View: Infrastructure boom is coming, get in or miss out
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The budget reflects clear policy intent in its sustained infra focus, with GoI's capex estimated to remain above 3% of GDP for the third consecutive year in FY26. Increasing public spending to create infra assets is crucial for India's young, ambitious population whose productivity will be amplified by better infra. Every rupee invested in infra can potentially generate 2.5 to 4.5 times that amount in economic activity over time. The scale of the opportunity is immense, with significant infra investment required, as noted in Economic Survey 2024-25. Industry estimates vary from a few hundred billion dollars to $2 trillion through 2030. This creates a vast canvas for local and global investors across sectors, from roads, ports, airports, logistics parks to RE, EVs and digital infra. Policy initiatives announced in the budget, including the second asset monetisation plan (2025-30) and the three-year infra pipeline for public-private partnerships, provide the stability and project visibility that global investors seek.
The sector has also matured over the last decade, as reflected in successful exits, from monetised road assets to large financial sponsor-owned RE businesses, establishing infra as an institutionally attractive asset class. While sovereign and pension funds from West Asia, Canada and Singapore continue to commit significant capital to Indian infra, large institutional investors from Japan, the US, Europe and Asia will also find that Indian infra offers a compelling
