Budget 2025: Investment in country roads could boost the economy.

As preparations for Budget 2025 gain momentum, Finance Minister Nirmala Sitharaman and her team are set to introduce measures aimed at boosting India’s economic resilience and promoting inclusive growth. A major focus area is expected to be rural infrastructure, particularly roads. The government is likely to increase the allocation for rural road development by about 10%, recognizing its crucial role in driving economic growth and fostering social inclusion.

The Pradhan Mantri Gram Sadak Yojana (PMGSY), a key rural road initiative, received Rs 16,100 crore in the current fiscal, up from Rs 14,800 crore in FY24. The government plans to maintain its emphasis on rural development, with a likely increase in funding for PMGSY, given its significant multiplier effect.