New govt infrastructure projects down by over 20% in December quarter

The private sector has pulled back on spending for new factories and other long-term assets, while government infrastructure projects, such as new roads, have also slowed.

 

The total value of new project announcements in the December 2024 quarter declined 22 per cent year-on-year to Rs 6 trillion, according to data from tracker Centre for Monitoring Indian Economy (CMIE). Meanwhile, the value of completed projects plummeted 52 per cent year-on-year to less than Rs 1 trillion. 

Both new and completed project values as of December 2024 remain below pre-pandemic levels seen in 2019. 

In recent years, government spending and selective large-scale