For more updates follow Grant Thornton Bharat on WhatsApp
One vision. Seven engines. Endless possibilities.
India has always relied on infrastructure to power its growth, from the roads that connected early industrial hubs to today's expressways and digital corridors. But now, with fast-paced urbanisation, rising aspirations, and emerging economic centres across the country, India needs more than isolated projects. It needs seamless, smart, and synchronised infrastructure.
Prime Minister Narendra Modi launched the Gati Shakti National Master Plan for Multimodal Connectivity in 2021 to transform how India develops infrastructure. This tech-enabled, whole-of-government initiative breaks down silos, integrates planning across ministries and states, and ensures that roads, railways, airports, and ports function as part of a unified, efficient network—truly delivering Gati se Pragati (progress through speed).
This report provides an in-depth assessment of PM Gati Shakti’s progress, institutional architecture, economic rationale, and impact across its seven key infrastructure engines:
This report blends macroeconomic analysis, policy insights, and on-ground data to showcase Gati Shakti's real-world impact. It offers data-backed insights into key outcomes, such as the reduction in logistics costs, improved capital efficiency, and enhanced connectivity for millions across India. Aligned with the ambitious National Infrastructure Pipeline (NIP), the report captures India's infrastructure transformation in motion.
For years, fragmented planning and duplication held back India's infrastructure efforts. Ministries worked in silos, projects stalled due to land and regulatory issues, and money often didn't translate into meaningful impact. Gati Shakti fixes that. By bringing 39 ministries, 36 states and UTs, and 1,463 GIS-based data layers onto one digital platform, it ensures every stakeholder is aligned from the start. Powered by satellite data and GIS tools, the platform allows planners to spot overlaps, track real-time progress, and coordinate like never before.
The logistics cost in India has dropped from an estimated 13–14% of GDP to 7.8–8.9%, thanks to better coordination and multimodal integration.
India’s rank in the Logistics Performance Index (LPI) improved dramatically, jumping from 54th in 2014 to 38th in 2023—reflecting better infrastructure, tracking systems, and shipment reliability.
Every INR 1 invested in infrastructure yields:
India’s ICOR (Incremental Capital Output Ratio) dropped to 3.9 in FY 2021–23—a sign that infrastructure investment is becoming more efficient under the Gati Shakti National Master Plan.
Over 44 central ministries and all states/UTs are connected through one digital ecosystem, enabling faster project execution and avoiding duplication.
While the Gati Shakti initiative sets new benchmarks, challenges like funding gaps, land acquisition delays, and regulatory hurdles remain.
This report outlines ways to address them:
Bridging India’s infrastructure investment gap, estimated between INR 18.9 to 21.5 lakh crore, is an economic necessity and an opportunity. The potential outcomes include:
PM Gati Shakti is more than a master plan—it is a national transformation blueprint. By leveraging technology, encouraging collaboration, and focusing on outcomes, India is creating infrastructure that is faster to deliver, smarter to manage, and more impactful for its citizens. As the engines of PM Gati Shakti gain momentum, India moves closer to becoming a globally competitive, resilient, and inclusive economy, where infrastructure is built with purpose.
