Union Minister Nitin Gadkari has announced a massive ₹10 lakh crore investment to upgrade 25,000-30,000 km of two-lane highways into four-lane corridors, aiming to boost India’s infrastructure and economic growth. The initiative, unveiled at the India Infrastructure Forum 2025, is expected to enhance connectivity, reduce travel time, and support industrial expansion.
Key Highlights of the Project
- Investment: ₹10 lakh crore allocated for highway expansion.
- Scope: 25,000-30,000 km of two-lane roads to be converted into four-lane highways.
- Funding Model: The government will leverage the Infrastructure Investment Trust (InvIT) model to raise funds from Indian investors.
- Execution Strategy: Projects will be developed under Build-Operate-Transfer (BOT), Engineering, Procurement & Construction (EPC), and Hybrid Annuity models.
Government’s Vision for Infrastructure Growth
Gadkari emphasized that infrastructure development is crucial for making India a strong economic power. He also revealed plans to revise the BOT model, allowing the government to collect tolls for 15 years while ensuring contractors maintain highways.
Economic & Strategic Impact
The highway expansion is expected to:
- Boost logistics efficiency and reduce transportation costs.
- Enhance trade and industrial growth by improving connectivity.
- Create employment opportunities in construction and allied sectors.
- Strengthen India’s position as a global investment hub.
Market & Industry Reactions
Industry experts have welcomed the initiative, citing its potential to accelerate economic growth and modernize India’s road infrastructure. The government’s focus on public-private partnerships is expected to attract significant investments.