New Delhi: The Union Government has enhanced its capital expenditure on infrastructure projects such as roads, railways and airports from Rs1.97 lakh crore (1.6% of GDP) in FY2014-15 to Rs11.1 lakh crore (3.4% of GDP) in FY2024-25, according to credit rating agency Moody’s report.

Consequently, India’s infrastructure development has seen unprecedented progress over the past decade, driven by substantial capital spending from both government and private sectors. This transformation spans physical infrastructure projects in railways, roads, and airports as well as digital advancements, positioning India as a leader among emerging markets, the report said.

This increase in government investment has also encouraged private sector participation through public-private partnerships (PPPs), it added.

Recent developments have not only bolstered connectivity and logistics, but also significantly improved the country’s ranking on the World Bank’s Logistics Performance Index (LPI). From being ranked 54 out of 160 countries a decade ago, India has now shot up to the 38th position out of 139 countries.