Published Paper Details:

Over the last decade, India has undertaken an unprecedented expansion in public infrastructure investment, recognising its central role in boosting gross domestic product (GDP), generating employment, and producing strong multiplier effects across the economy. Central government capital expenditure on infrastructure increased more than fivefold--from approximately INR2 trillion in 2014 15 to INR11.1 trillion in 2024-25. This article examines the institutional innovation of PRAGATI (Pro Active Governance and Timely Implementation) as a governance mechanism that enhances the efficiency, timeliness, and economic impact of large scale infrastructure spending. Drawing on official Government of India data, PRAGATI review outcomes, and sectoral evidence from transport, energy, and urban infrastructure, the paper empirically analyses the relationship between infrastructure capital expenditure, project execution efficiency, GDP growth, and employment creation. The findings suggest that PRAGATI, complemented by the PM Gati Shakti National Master Plan, has significantly reduced coordination failures, mitigated cost and time overruns, and strengthened the growth multiplier of public investment.