INFRASTRUCTURE

For updated information, please visit www.ibef.org July 2020

 Table of Contents

Executive Summary……………….….…….3

Advantage India…………………..….……...4

Market Overview and Trends………...…….6

Strategies adopted……………....…………13

Growth Drivers and Opportunities…...…...15

Industry Organisations………….........……26

Useful Information……….……….....….......28

2 Infrastructure For updated information, please visit www.ibef.org

 EXECUTIVE SUMMARY

High budgetary
In Union Budget 2020-21, the Government has given a massive push to the infrastructure sector by
allocation for infrastructure allocating Rs 1,69,637 crore (US$ 24.27 billion) to enhance the transport infrastructure.

Private sector is emerging as a key player across various infrastructure segments, ranging from roads and
communications to power and airports.

Increasing private Private investment into physical and social infrastructure is key to putting India in a high growth trajectory,
sector involvement which will make it a US$ 5 trillion economy by 2024-25.

Yearly private equity (PE) and venture capital (VC) investment in India is expected to surpass US$ 65 billion
in 2025.

The logistics sector in India is growing 10.5 per cent annually and is expected to reach US$ 215 billion in
2020.
Improvement in logistics India was ranked second* in the 2019 Agility Emerging Markets Logistics Index.

Rising foreign direct

FDI in construction development sector (townships, housing, built up infrastructure and construction
development projects) and construction (infrastructure) activities stood at US$ 25.66 billion and US$ 16.84 billion, respectively, between Apri
investment (FDI) in the sector

Note: * prepared by Agility for ranking emerging countries in terms of their logistics performance
Source: Media sources, DPIIT, Equirius Capital, EY

3 Infrastructure For updated information, please visit www.ibef.org

 Infrastructure

ADVANTAGE INDIA
 ADVANTAGE INDIA

 India is expected to become the third largest

construction market globally by 2022.  Favourable valuation and earnings
outlook makes this sector an attractive
 India has a requirement of investment worth
opportunity.
Rs 50 trillion (US$ 777.73 billion) across
infrastructure by 2022 for a sustainable  Only 24 per cent of the national highway
development in the country. network in India is four-lane, therefore
there is an immense scope for
improvement.
 The Regional Connectivity Scheme
(RCS) gives opportunity for development
of airports.

ADVANTAGE
INDIA
 Large investment in infrastructure have
 With initiatives like ‘Housing for All’ and
provided momentum to overall PE/VC
‘Smart Cities Mission’, the Government of
investment into India, which touched an all-
India is working on reducing bottlenecks and
time high value of US$ 14.5 billion during
impeding growth in the infrastructure sector.
2019.
Rs 2.05 lakh crore (US$ 31.81 billion) will be
 Construction development sector and invested in the smart cities mission.
infrastructure activities sector received FDI
inflow amounting to US$ 25.66 billion and
 100 per cent FDI is permitted under the automatic route across
US$ 16.84 billion, respectively, from April
various infrastructure sectors.
2000 to March 2020.

Note: UDAY – Ujwal Discom Assurance Yojana

Source: Media Sources, DIPP, PricewaterhouseCoopers

5 Infrastructure For updated information, please visit www.ibef.org

 Infrastructure

MARKET OVERVIEW
AND TRENDS
 PERFORMANCE OF EIGHT CORE INFRASTRUCTURE INDUSTRIES

Index of eight core Industries

 The eight core infrastructure industries include coal, crude oil, natural
gas, refinery products, fertilisers, steel, cement and electricity.
180
 In FY20, the cumulative growth of the eight core industries stood at
0.6 per cent. 160 140

158.5
120

153.9
 In FY20, growth in the index was led by steel (4.2 per cent) and

145.7
fertilisers (2.7 per cent).

137.4
100

133.5

131.9
129.4
80

109.8
106.5

98.2
60

99.2

93.7
81.184.5
40

69.3
65.1

58.4
20

55.3
0

Refinery Products
Natural Gas

Fertilisers

Electricity
Crude Oil

Cement

Overall
Steel
Coal
FY20FY21*

Note: *- Till May 2020

Source: Ministry of Commerce and Industry

7 Infrastructure
For updated
information, please
visit www.ibef.org
 GROWTH IN INFRASTRUCTURE RELATED ACTIVITIES

 National highway construction recorded the highest increase of 15 Growth in infrastructure related activities during FY20 (per
cent)
per cent in line with government’s increased focus on improving
18
15 15.00
12
 In March 2020, NHAI accomplished the highest ever highway
9
construction of 3,979 km of national highways in FY20. 6
3
 Freight earnings in FY20 stood at Rs 113,480.65 crore (US$ 16.10 0
-3
-6 0.82
24.99 billion) during the same period. 0.26

 Cargo traffic handled stood at 707.4 million tonnes (MT) in FY20.

 Electricity production in India reached 1,252.61 BU in FY20.

National Highway Construction

Electricity Generation

Cargo at major ports

-8.06

Rail freight earning

Railway earnings
-12 -10.95
-15

Note: Data is as per latest available information, P – Provisional

Source: Economic Survey 2017 Ministry of Railways, Union Budget 2018-19, Indian Ports Association, Central Electricity Authority

8 Infrastructure For updated information, please visit www.ibef.org

 STRONG MOMENTUM IN EXPANSION OF ROADWAYS

 Highway construction in India increased at a CAGR of 21.44 Highway construction in India (kms)
between FY16-FY19. In FY19, 10,855 km of highways were
constructed. The Government of India aims to construct 65,000
12,000 CAGR 21.44%
km of national highways at a cost of Rs 5.35 lakh crore (US$
741.51 billion) by 2022.
10,855
 The Government will use plastic waste for the construction of 10,000
9,829
roads. One of the roads has been recently constructed with plastic
waste near Dhaula Kuan (New Delhi), while there are plans to
8,000
construct Delhi-Meerut Expressway and Gurugram-Sohna road. 8,231

 In April 2020, the Government set a target of constructing roads

worth Rs 15 lakh crore (US$ 212.80 billion) in the next two years. 6,000
6,061
 In May 2020, Border Roads Organisation (BRO) achieved major
milestone by digging up a 440-metre long tunnel below the busy 4,000 4622.00
Chamba town on Rishikesh-Dharasu road Highway (NH 94).

 In June 2020, National Highway Authority of India (NHAI) became 2,000

fully digital with the launch of unique cloud based and Artificial
Intelligence powered Big Data Analytics platform – Data Lake and
Project Management Software. 0
FY16 FY17 FY18 FY19 FY20 (till
 On July 15, 2020, Minister for Road Transport and Highways, Mr Sept 19)
Nitin Gadkari inaugurated and laid the foundation stone of various
highway projects as part of a new economic corridor worth Rs
20,000 crore (US$ 2.84 billion) in Haryana.

Note: E – Estimate, Figures are as per latest data available, CAGR till FY19
Source: Ministry of External Affairs, Economic Survey-2019-20

9 Infrastructure For updated information, please visit www.ibef.org

 STRONG REVENUE GROWTH FOR INDIAN RAILWAYS

 Revenue growth has been strong over the years. Indian Railways’
Gross revenue trends over the years (US$ billion)
revenue increased at a CAGR of 2.57 per cent during FY16-FY19
and reached US$ 27.71 billion in FY19. The gross revenue stood at
Rs 174,660.52 crore (US$ 24.99 billion) in FY20.
28.00 27.50
27.00
 The Indian Railways received allocation under Union Budget 2020-
21 at Rs 72,216 crore (US$ 10.33 billion). 26.50
 The Ministry of Railways is working on a plan to earn Rs 15,000
26.00
crore (US$ 1.56 billion) over the next 10-20 years through rail display
network (RDN), enabling real-time information to passengers. 25.50
 Indian Railways will require investment of Rs 35.3 trillion (US$
25.00
545.26 billion) by 2032 for capacity addition and modernisation. The
capital expenditure in the sector is expected to increase by 92 per 24.50
cent annually.
24.00
 Railways is leading India’s fight against climate challenge and is
taking significant steps towards meeting its ambitious goal of being a 23.50
net zero carbon emissions organisation by 2030 and meeting India’s
23.00
Intended Nationally Determined Contributions (INDC) targets.

 In June 2020, Indian Railways created a new world benchmark by

commissioning first high rise Over Head Equipment (OHE) with a
contact wire height of 7.57 metre and successfully running double
stack containers in electrified territory on Western Railway.
FY16

FY17

FY18

FY19

FY20
 Indian Railways registered the best safety record in the last 15
months with no fatality of any railway passenger in any train
accident.

Note: CAGR – Compound Annual Growth Rate, E – Estimates, P-Provisional, FY – Indian Financial Year (April–March)
Source: Vision 2020, Ministry of Railways

10 Infrastructure For updated information, please visit www.ibef.org

 POWER GENERATION CAPACITY HAS INCREASED AT A HEALTHY PACE

 In FY20, total thermal installed capacity in the country stood at

Installed electricity generation capacity (GW)
Visakhapatnam port traffic (million tonnes)
230.81 GW, while renewable, hydro and nuclear energy installed
capacity totalled 86.76 GW, 45.70 GW and 6.78 GW, respectively. CAGR^ 7.19%
 With electricity production of 1,252.61 BU in FY20, the country witnessed
400
growth of around 0.26 per cent over the previous fiscal year.

 Indian energy sector is expected to offer investment opportunities worth

350

370.

370.
US$ 300 billion over the next 10 years.

344.00
326.84
 As on 31 March 2019, 26.02 million households have had electricity
300
connections under the Saubhagya Scheme.

280.33
 250
Prime Minister Mr Narendra Modi inaugurated the 750 megawatt
(MW) solar project set up at Rewa, Madhya Pradesh on July 10,
2020. 200

150

100

50

FY21*
FY16

FY17

FY18

FY19

FY20
0

Note: GW - Gigawatt, @ CAGR till FY20, *- till June 2020

Source: CEA (Central Electricity Authority)

11 Infrastructure For updated information, please visit www.ibef.org

 KEY PRIVATE PLAYERS

Major projects: Mumbai–Pune BOT Project, Pune–Nashik BOT Project, Bharuch–Surat BOT Project, Thane–Bhiwandi by-pass 4 Lane Project, Thane Ghodbu

Major projects: NH6 Dhankuni to Kharagpur, Sambalpur Baragarh, NH4 Belgaum Dharwad, NH-3 Pimpalgaon – Nashik – Gonde Road (JV with L&T), Jaora

Major projects: Bandra–Worli Sea Link, Badarpur Elevated Highway Project, Delhi Faridabad Elevated Expressway, Breakwater construction for new port at

Major Projects: Hyderabad-Vijayawada Road Project, Sikkim’s Greenfield Airport, The Medanta (Medicity), Bangalore Metro Rail Project, Upgradation of Belg

Major Projects: Hyderabad Metro Rail, Construction of a 6-lane bridge over the Ganges river, Mechanise Track Laying for India's first 626 km Dedicated Frei

Source: Company websites

12 Infrastructure For updated information, please visit www.ibef.org

 Infrastructure

STRATEGIES
ADOPTED
 STRATEGIES ADOPTED

 The company has selected countries and regions with maximum congruence to its strengths and most favourable logistics.
The Middle East and China have been identified as prime centres for expansion for manufacturing and projects businesses as
L&T seeks to ramp up its presence in these markets through a slew of new projects and business initiatives.

 Global sourcing policy is another key area that has given a thrust to its international strategy. With a steady rise in material
costs, the company has placed sourcing teams in China, Europe and Russia.

 To expand nuclear energy portfoilo, efforts to increase scope by offering products beyond conventional island in nuclear
business is under way.
 Considering the National Action Plan on Climate Change targeting 15 per cent of electricity generation from renewables by
2020, BHEL is looking towards expanding its capacity to manufacture photo voltaic modules and cells.
 BHEL's collaborative initiatives to address the growing demand potential in Railway Transportation including Metro and
Suburban Railways include initiative with Indian Railways for setting up a greenfield Mainline Electrical Multiple Unit (MEMU)
Coach Factory in Rajasthan.

 GMR Airports Limited (GAL) bagged the development and operation rights of the greenfield international airport proposed at
Bhogapuram in Vizianagaram district from the state Government in April 2020.

 GMR Airport’s international partner, Groupe ADP of France, has raised US$ 2.47 billion in bonds in two-parts.

 Adani Ports and Special Economic Zone (APSEZ) Ltd acquired 40.25 per cent stake in Snowman Logistics for Rs 296 crore
(US$ 42.35 million) and 70 per cent stake in Kishnapatnam port for over Rs 5,500 crore (US$ 790 million) in 2019.

Source: Company websites, Media sources

14 Infrastructure For updated information, please visit www.ibef.org

 Infrastructure

GROWTH DRIVERS
AND OPPORTUNITIES
 GROWTH DRIVERS FOR INFRASTRUCTURE IN INDIA

Government Public Private

initiatives Partnerships (PPP)

Growth Drivers
International
Infrastructure investment
needs

Housing development

16 Infrastructure For updated information, please visit www.ibef.org

 • For 2019-20, the total capital expenditure of • 2,000 km of coastal connectivity roads have been
Railways is expected to be Rs 1.59 trillion identified for construction and development.
(US$ 22.04 billion). • The Government of India will construct 65,000 km of
• As per Union Budget 2020-21, the Ministry highways by 2022.
of Railways have been allocated Rs 72,216 • Bharatmala phase II is going to be
crore (US$ 10.33 billion). launched to develop the state road
networks

Total allocation for

infrastructure in
Union Budget 2020-
21 stands at US$
 In Union Budget 2020-21, the 63.20 billion  Rs 8,350 crore (US$ 1.16 billion) was
Government announced Rs 91.82 billon
allocated in Union Budget 2019-20 for
(US$ 13.14 billon) for road transport and
highway. creation and augmentation of telecom
• As per Union Budget 2019-20, the infrastructure in the country.
investment of Rs 50 lakh crore (US$ 750  In the second phase of Strategic Crude
billion) for railways infrastructure between
Oil reserves, reserve capacity will be
2018-2030 is needed.
increased to 15.33 MT.

 In the second phase of Solar Park Development, an additional

capacity of 20,000 MW will be generated.

Source: Union Budget 2019-20, Media sources

17 Infrastructure For updated information, please visit www.ibef.org
GOVERNMENT INITIATIVES DRIVING GROWTH IN THE SECTOR
 AFFORDABLE HOUSING

Growth in Household Incomes and Residential Prices (CAGR Mortgage Payment as % of Post-Tax Income in India
Visakhapatnam port traffic (million tonnes)
2011-19) Visakhapatnam port traffic (million tonnes)

12%
40%
35%
10%

36%
10%

30%

34%

34%
9%

9%

25%

32%
8%

8%

8%
8%

30%
8% 20%
15%

26%
6% 10%

22%
5% 5%

%4
0%
3%

3%

3%

3%
4%
2%
Hyderabad

Delhi NCR
Bengaluru
Chennai
Mumbai

Kolkata

Pune

2%

2012

2013

2014

2015

2016

2017

2018
0%

Household Incomes Residential Prices

 In Budget 2017-18, affordable housing was given infrastructure status. “Housing for All” programme was launched in June 2015 to build 20 million
urban homes and 30 million rural houses by 2022.

 Homes in India are currently most affordable in nearly two decades with overall mortgage payment accounting for 22 per cent of average post-tax
income.

 As per Union Budget 2019-20, Government has finalised the model tendency law for promotion of rental housing.

Source: Bloomberg, Economic Times, JLL, Anarock

18 Infrastructure For updated information, please visit www.ibef.org

 INFRASTRUCTURE DEVELOPMENT IN NORTHEAST INDIA

 As of September 2018, Rs 1.90 trillion (US$ 27.07 billion) was sanctioned for construction of about 12,000 km of roads in the northeast region in
India.

 For 2020-21, budgetary allocation for the Ministry of Development of Northeastern Region has been increased to Rs 3,049 crore (US$ 432.54
million) from Rs 2,629 crore (US$ 376.16 million) in 2018-19.

 Indian Prime Minister launched three transport links in February 2019 – a strategically important region abutting the Chinese border in the
Northeast.

 The Civil Aviation Ministry launched UDAAN 3.1 in February 2019 as it invited bids for airlines to fly over 28 to 30 routes to cover northeast.

 Conrad K. Sangma, Chief Ministry of Meghalaya, inaugurated the First Swadesh Darshan Scheme in January 2019. Quality of infrastructure
was aimed in the scheme.

 With an eye on China, India is working on a slew of road and bridge projects to improve connectivity with Bangladesh, Nepal and Myanmar.

 Government announced plans to invest US$ 6.98 billion across northeast states.

 Arunachal Pradesh was brought on the railway map of India with India’s longest rail-cum-road bridge — the 4.94-km long Bogibeel bridge
over Brahmaputra.

 Government has also announced plans to convert all meter gauge tracks in northeast to broad gauge tracks.

 In FY20, Rs 53,370 crore (US$ 7.64 billion) was provided for infrastructure and socio-economic development of northeast region.

Source: Media sources

19 Infrastructure For updated information, please visit www.ibef.org

 LOGISTICS AND WAREHOUSING

Logistics market size

 Logistics and warehousing play an important role in the industrial (US$ billion)
advancement of the country. They are a fundamental part of business
infrastructure and one of the key enablers in the global supply chain. 250

 By 2022, market size of logistics sector is expected to reach US$ 215

billion.
200
 In 2017, the logistics sector was given infrastructure status in India.
Logistics market in India stood at US$ 160 billion in 2017. The sector is

215.0
expected to grow at a CAGR of 10.5 per cent to reach US$ 215 billion by
150
2020.

 In 2018, India was ranked 44 out of 167 countries in the World Bank's

160.0
Logistics Performance Index (LPI) 2018. India was also ranked
100
second* in the 2019 Agility Emerging Markets Logistics Index.

 Investment in the logistics sector is expected to reach US$ 500 billion

annually by 2025. Warehousing in India is expected to get investment 50
of Rs 50,000 crore (US$ 7.12 billion) between 2018-20.

 Hiranandani Group planned to enter the logistics and warehousing

sector with an investment of Rs 25 billion (US$ 356.23 million) in two 0
projects during Q12019. 2017 2020E

 The warehousing and logistics industry is expected to grow 35 per

cent in 2021.

Source: Economic Survey 2017-18, KPMG Report, News Articles

20 Infrastructure For updated information, please visit www.ibef.org

 AIRPORTS INFRASTRUCTURE INVESTMENT

 The Airports Authority of India (AAI) aims to bring around 250 airports under operation across the country by
2020.

 AAI has developed and upgraded over 23 metro airports in the last 5 years.

 AAI plans to develop city-side infrastructure at 13 regional airports across India with help from private players
for building of hotels, car parks and other facilities, and thereby boosting its non-aeronautical revenues.
Metro airports  Airport housing will also have height restrictions to avoid interference with flight paths. They will also have to
be far from the runway and 45m above a defined level of the airport, which will allow 4-5 floors to be built.

 The development of Navi Mumbai airport has been approved. The project will be developed on 74:26 per
cent partnership between Mumbai International Airport Limited (MIAL) and City & Industrial Development
Corporation of Maharashtra (CIDCO) and airport’s phase I with annual handling capacity of 10 million
passengers each year rephrasing it from the origin.

 AAI plans to spend over Rs 21,000 crore (US$ 3.2 billion) between 2018-22 to build new terminal and
expand capacity of existing ones.

 The Government of Andhra Pradesh will develop greenfield airports in six cities-Nizamabad, Nellore,
Kurnool, Ramagundam, Tadepalligudem and Kothagudem under the PPP model.

 Upfront subsidy has been proposed through which non-metro airports would be funded by imposing 2 per
Non-metro airports cent levy on both domestic and international airfares.

 About 22 airports will be connected under regional connectivity scheme of AAI.

 Over 30 airport development projects are under progress across various regions in northeast India.

 AAI plans to develop over 20 airports in tier II and tier III cities in the next 5 years.

 56 new airports are expected to become functional in the country over the next few years (as of April 2018).

Source: Media sources

21 Infrastructure For updated information, please visit www.ibef.org

 METRO RAIL AND MONORAIL INFRASTRUCTURE INVESTMENT

 At least 10 Indian cities are working on metro railway projects and the Government initiated a plan in 2012 to
study the feasibility of such networks in all cities with a population of more than 2 million.

 Metro rail projects worth over Rs 500 billion ($7.7 billion) is underway.

 Metro rail network has reached 657 kms.

Metro rail  A new Metro Rail Policy was announced in August 2017, to give boost to private investments by mandating
PPP component in new projects. A new committee to lay down standards for metro rail systems was
approved in June 2018.

 In June 2020, A&M Development Group, a European infrastructure development company, announced its
plans to invest Rs 100 crore (US$ 14.19 million) in Mumbai metro project along with RCC Infra Ventures
through its recently formed Indian arm, Oberoi-A&M Infra-Consortium.

 being the first city in the country to have this transport

Monorail has made its beginning in India with Mumbai
system in place.
It took more than six years from the date of inviting Request for Qualification for MMRDA (Mumbai Metropolitan Region Development Authority) to
Monorail

Monorail Projects are being developed in Chennai, Pune, Thiruvananthpuram, Bengaluru, Thane, Delh
Blair, Dehradun, Chandigarh etc.

Source: Media sources

22 Infrastructure For updated information, please visit www.ibef.org

 INCREASING INVESTMENTS IN INDIAN INFRASTRUCTURE

 Construction development sector and infrastructure activities sector received FDI inflow amounting to US$ 25.66 billion and US$ 16.84 billion,
respectively, from April 2000 to March 2020.

 In Union Budget 2019-20, under Pradhan Mantri Awas Yojana (PMAY-Urban), over 8.1 million houses with an investment of about Rs 483,000 crore
(US$ 69.10 bullion) were sanctioned, out of which, construction started on around 4.7 million houses. Over 2.6 million houses were completed, of
which, nearly 2.4 million houses were delivered to respective beneficiaries.

 Brookfield’s US$ 1.9 billion acquisition of Pipeline Infrastructure India in first quarter of 2019 was the largest PE investment in the sector.

 In 2019, PE/VC investment in infrastructure stood at US$ 14.5 billion, witnessing growth of 225 per cent y-o-y.

 The sector witnessed the largest deal in 2019, which was US$ 1.1 billion in GVK Airport Holdings Ltd. by Abu Dhabi Investment Authority, Public Sector
Pension Investment Board and National Investment and Infrastructure Fund.

 In 2019, infrastructure sector witnessed seven merger and acquisition (M&A) deals worth US$ 1,461 million.

Note: FDI – Foreign Direct Investment,

Source: DIPP, Media sources, Venture Intelligence & mint Research, EY

23 Infrastructure For updated information, please visit www.ibef.org

 KEY HIGHLIGHTS OF UNION BUDGET 2020-21

 The Government of India has given a massive push to the infrastructure sector by allocating Rs 1.69 lakh crore (US$ 24.27 billion) for the
transport sector.

 Communication sector allocated Rs 38,637.46 crore (US$ 5.36 billion) to the development of post and telecommunications departments.

 Indian railways received Rs 72,216 crore (US$ 10.33 billion), of which, Rs 64.587 billion (US$ 8.95 billion) is capital expenditure.

 Rs 91,823 crore (US$ 13.14 billion) has been allocated towards road transport and highway.

 Allocation of Rs 888.00 crore (US$ 110.88 million) for the upgradation of state Government medical colleges (PG seats) at district hospitals and
Rs 1,361.00 crore (US$ 188.63 million) for Government medical colleges (UG seats) and Government health institutions.

 The Government has suggested the investment of Rs 5,000,000 crore (US$ 750 billion) for railways infrastructure between 2018-2030.

 Metro rail network has reached 657 kms.

 Government has announced to invest Rs 10,000,000 crore (US$ 1.5 trillion) in infrastructure over the next five years.

 To upgrade 1,25,000 km of road length over the next five years, the estimated cost of Rs 80,250 crore (US$ 12.03 billion) is envisaged under
Pradhan Mantri Gram Sadak Yojana 3 (PMGSY)

 30,000 km of PMGSY roads have been built using Green Technology, Waste Plastic and Cold Mix Technology.

 Government has ensured power availability to states at affordable rates through model – One Nation, One Grid.

 Government has proposed to permit investments made by Foreign Institutional Investor’s (FIIs)/Foreign Portfolio Investments (FPIs) in debt
securities issued by Infrastructure Debt Fund.

 Bharatmala phase 2 to be launched to develop state road networks.

 Government proposed National Mission on Quantum Technologies and Applications with an outlay of Rs 8,000 crore (US$ 1.14 billion) over a
period of five years.

Source: Union Budget 2020-21

24 Infrastructure For updated information, please visit www.ibef.org

 OPPORTUNITIES IN INFRASTRUCTURE


on off-budget sources and PPP. 
of Technology (IITs), National Institute of Technology (NITs) and reputed Engineering Colleges to collaborate and adopt nearby stretches of National Highways

Government initiatives

 Japanese investment has played significant role in India’s growth story. Japan pledged investment worth
International US$ 35 billion for the period of 2014-19 to boost India’s manufacturing and infrastructure sectors.
associations  As of October 2019, the US government’s Overseas Private Investment Corporation (OPIC) planned to
invest in India’s infrastructure, port and solar energy sectors.

 With every sixth urban person globally being an Indian, the real estate and construction sector holds
significant opportunity for both global and domestic companies engaged across the value chain.
 India will need to construct 43,000 houses every day until 2022 to achieve the vision of Housing for All by
2022. Hundreds of new cities need to be developed over the next decade.
Urban Indian real estate
 This has the potential for catapulting India to the third largest construction market globally. The sector is
expected to contribute 15 per cent to the Indian economy by 2030.
 The recent policy reforms such as the Real Estate Act, GST and REITs are steps to reduce approval delays
and are only going to strengthen the real estate and construction sector.

Source: Media sources, Ministry of Finance, M-SIPS - Modified Special Incentive Package Scheme, EDF – Electronics Development Funds

25 Infrastructure For updated information, please visit www.ibef.org

 Infrastructure

KEY INDUSTRY
ORGANISATIONS
 National Highways Authority of India (NHAI)
Address: G 5 and 6, Sector 10, Dwarka
New Delhi – 110 075
Phone: 91-11-25074100, 25074200
Fax: 91-11-25093507, 25093514

Airports Authority of India (AAI)

Address: Rajiv Gandhi Bhawan, Safdarjung Airport, New Delhi - 110003
Tel: 91-11-24632950
 Infrastructure Industry And Logistics Federation of India (ILFI)

INDUSTRY ORGANISATIONS
Address: P-95, South Extension Part – II New Delhi - 110049
Phone: 91-11-41007091
Fax: 91-11-41007093
Email: Website:

27 Infrastructure For updated information, please visit www.ibef.org

 Infrastructure

USEFUL
INFORMATION
 GLOSSARY

 FY: Indian Financial Year (April to March) – So, FY11 implies April 2010 to March 2011

 FDI: Foreign Direct Investment

 CAGR: Compounded Annual Growth Rate

 GOI: Government of India

 R&D: Research and Development

 JV: Joint Venture

 SEZ: Special Economic Zone

 BOT: Build-Operate-Transfer

 IBEF: Indian Brand Equity Foundation

 NHAI: National Highways Authority of India

 PPP: Public-Private-Partnership

 Wherever applicable, numbers have been rounded off to the nearest whole number

29 Infrastructure For updated information, please visit www.ibef.org

Exchange Rates (Fiscal Year) Exchange Rates (Calendar Year)

Year INR INR Equivalent of one US$

2004–05 44.95
2005–06 44.28
2006–07 45.29
2007–08 40.24
2008–09 45.91
2009–10 47.42
2010–11 45.58
2011–12 47.95
2012–13 54.45
2013–14 60.50
2014-15 61.15
2015-16 65.46
2016-17 67.09
2017-18 64.45
2018-19 69.89
2019-20 70.49
 Year INR Equivalent of one US$

2005 44.11

2006EXCHANGE RATES
45.33

2007 41.29

2008 43.42

2009 48.35

2010 45.74

2011 46.67

2012 53.49

2013 58.63

2014 61.03

2015 64.15

2016 67.21

2017 65.12

2018 68.36

2019 69.89

Source: Reserve Bank of India, Average for the year

30 Infrastructure For updated information, please visit www.ibef.org

 DISCLAIMER

India Brand Equity Foundation (IBEF) engaged TechSci Research to prepare this presentation and the same has been prepared by TechSci
Research in consultation with IBEF.

All rights reserved. All copyright in this presentation and related works is solely and exclusively owned by IBEF. The same may not be reproduced,
wholly or in part in any material form (including photocopying or storing it in any medium by electronic means and whether or not transiently or
incidentally to some other use of this presentation), modified or in any manner communicated to any third party except with the written approval
of IBEF.

This presentation is for information purposes only. While due care has been taken during the compilation of this presentation to ensure that the
information is accurate to the best of TechSci Research and IBEF’s knowledge and belief, the content is not to be construed in any manner
whatsoever as a substitute for professional advice.

TechSci Research and IBEF neither recommend nor endorse any specific products or services that may have been mentioned in this presentation
and nor do they assume any liability or responsibility for the outcome of decisions taken as a result of any reliance placed on this presentation.

Neither TechSci Research nor IBEF shall be liable for any direct or indirect damages that may arise due to any act or omission on the part of the user
due to any reliance placed or guidance taken from any portion of this presentation.

31 Infrastructure
For updated information, please visit www.ibef.org