Budget 2021 For Infrastructure Sector: Union Finance Minister Nirmala Sitharaman has presented the budget for the financial year 2021-22. This is the third budget of the second term of the Modi government. This budget has become very important due to Corona epidemic and subsequent economic crisis. The government’s focus in the budget has also been on the infrastructure sector along with health. The Finance Minister said that more than 13 thousand kilometers of roads have been awarded under the Bharat Mala Project. 3800 km has been constructed so far. Contracts for 8500 km of roads will be awarded by March 2022.
Proposal for 3500 km corridor in Tamil Nadu
The Finance Minister has proposed a 3500 km corridor in Tamil Nadu. 1100 km of highways will be constructed in Kerala with an investment of 65000 crores, 675 km of highways in West Bengal at a cost of 25,000 crores, and 1300 km of highways in Assam in the next three years.
Nirmala Sitharaman announced that in addition to PLI, the Mega Investment Textile Park Scheme (MITRA) will be launched. This will create job opportunities. 7 textile parks will be built in 3 years. The Finance Minister announced that the National Infrastructure Pipeline (NIP) launched in 2019 has now been expanded to 7,400 projects. Under this, 217 projects worth 1.10 lakh crore have also been completed.
Development Financial Institution (DFI) to be established
The Union Finance Minister announced in his budget speech that a provision of 20 thousand crores is being made for the Development Financial Institution (DFI). The minister informed that a bill will be introduced to establish DFI. This will come in handy in infrastructure financing. Sitharaman also announced that she is allocating Rs 1,18,101 lakh crore for the Ministry of Road Transport and Highways. For the development of rural infrastructure, the allocation was also increased to 40 thousand crores, which was 30 thousand crores in the financial year 2021.
Budget 2021: What will become cheaper after budget announcements and whose prices will increase, read full detail
In last year’s budget, Sitharaman presented his plan for the country’s railways and highways in the budget. He had proposed Rs 1.7 lakh crore in the budget for transport infrastructure, which includes speeding up highway construction. This will benefit companies working in infrastructures such as Larson & Toubro and KNR Constructions and IRB Infra.