Introduction & Context

India's service sector is the engine of its economic growth — yet the country's physical infrastructure has historically been the biggest drag on competitiveness. Topic 25 is consistently examined (all 5 years, 5.2 marks/year average) because infrastructure is central to every economic debate: logistics costs, manufacturing competitiveness, rural connectivity, energy access, and the digital economy.

The 2023 exam asked about National Logistics Policy (5 marks) and PM Gati Shakti's three railway corridors (2 marks). The 2021 exam asked about the 8 core infrastructure industries (2 marks). The 2018 exam gave 10 marks to infrastructure. For 2026, expect questions on PM Gati Shakti, renewable energy targets, UDAN, and the National Logistics Policy.

India's infrastructure spending has been rising sharply — capital expenditure in Union Budget 2024–25: Rs 11.11 lakh crore (3.4% of GDP), up from Rs 4.39 lakh crore (2019–20). This reflects a deliberate "capex push" strategy to crowd in private investment and generate employment.