Indian infrastructure projects face a ₹5.18 lakh crore cost overrun, totaling ₹13.56 lakh crore.

According to Rao Inderjit Singh, Minister of State for Statistics & Programme Implementation, 438 infrastructure projects in India with a total cost of at least ₹150 crore each have reported a 62% cost overrun, totaling ₹5.18 lakh crore. As of November 1, 2024, the original cost of ₹8.38 lakh crore rose to ₹13.56 lakh crore. Factors contributing to the cost overrun include under-estimation of costs, changes in foreign exchange and statutory duty rates, increased land acquisition costs, and a shortage of skilled labor.

December 16, 2024
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