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Question

give any one reason for India's low investment in infrastructure.

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Solution

One of the obvious reasons for low level of investment in the infrastructure sector in India is the low level of capital. This means that the high volume of capital that is needed to develop the infrastructure is scarce. In addition to this, a significant portion of the amount of capital which is allocated for infrastructural development gets evaporated due to high level of corruption. Moreover, the low level of investment in infrastructure can also be attributed to a few reasons such as misallocation of investment and running too many infrastructural projects simultaneously. In this context, I do agree with Neil Deshmukh.


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