Global investors bet big on India’s 2nd infrastructure wave

New Delhi, Dec 11 Global capital is betting big on India as the world’s fastest major economy enters what investors describe as the country’s “second infrastructure wave.”

The positive investment sentiment on India hinges on the country's sustainable long-term growth, policy predictability, and a structural investment opportunity that spans transportation, energy, digital ecosystems, and next-generation industries, according to an article in the Greek City Times news portal.

As 2025–26 unfolds, India’s infrastructure supercycle is poised to redefine global investment narratives, making the country not just an attractive destination but a central player in the world’s economic future, the article states.

It highlights that India’s infrastructure sector has outpaced market expectations for three consecutive years. The Nifty Infrastructure Index has delivered remarkable returns — 82.8 per cent over the last three years and 181.2 per cent over five years — far ahead of the Nifty 50.

This consistent outperformance indicates more than cyclical strength; it reflects fundamental, structural momentum that investors view as the beginning of a multi-year expansion from FY26 to FY30, the article observes.

The surge in infrastructure development is backed by the strongest capital expenditure cycle in independent India’s history, a resurgence in private investments, and a rapidly evolving ecosystem across green energy, logistics, digital infrastructure, and next-generation fuels.

A key driver of this confidence is record-breaking government capital expenditure. FY25 saw a historic allocation of Rs 11.11 lakh crore ($131 billion), with FY26 poised to go even higher at Rs 11.21 lakh crore ($132 billion) — at roughly 3.1 per cent of GDP.

Whether it is expressways, power corridors, logistics hubs, or airport expansions, India’s development pipeline is deeper and more future-oriented than ever before. This momentum provides sustained visibility for EPC (engineering procurement and contract) companies, developers, lenders, and long-term investors, the article points out.

The article views the revival of private capex as India’s next growth catalyst. Private-sector investment, long considered the missing piece in India’s growth puzzle, is now making a strong comeback. Government reforms, production-linked incentive (PLI) schemes, and global supply-chain diversification have collectively strengthened manufacturing competitiveness.

The article also highlights details of the development that is taking place across the highways, aviation and maritime sectors.

The core of India’s infrastructure story continues to strengthen. With over 146,000 km of national highways and steady annual construction of 10,000–11,000 km, programmes such as Bharatmala and expanding expressway networks ensure consistent order inflows.

India is now one of the world’s fastest-growing aviation markets. Operational airports have more than doubled to over 163, and passenger traffic is scaling to record highs. With long-term plans for 350–400 airports, the aviation ecosystem — spanning terminals, cargo, MRO, and concessions — is entering a major expansion phase.

The maritime sector is undergoing rapid modernisation under Sagarmala, with major ports handling nearly 795 MT of cargo and national capacity on track for 3,300+ MTPA.

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