Country Overview
India is the most improved country in infrastructure Governance since InfraCompass 2017. The quality of India's infrastructure procurement processes has also improved significantly helping to bring better value for money and better quality outcomes from investment. Regulatory and permits reforms have led to a marked improvement in the ease of starting a business, encouraging investment and competition from new suppliers. However, the impact of the COVID-19 pandemic and the lack of private investment in infrastructure projects present as key challenges for India’s ability to close the infrastructure gap and deliver future projects.
See Full Overview Data
GDP per capita
2,172 USD
Population
1,352 million persons
Infrastructure quality
68.1 (0-100 best)
Infrastructure investment
4.5% of GDP
Private infrastructure investment
1,314 5-year average, USD millions
Infrastructure gap
0.5% of GDP

Driver Overview

This section shows a country’s rank, ranking change and score for each of the eight drivers. It also categorises each country’s driver performance on a scale from “Emerging” (score from 0-20) to “Global Leader” (score from 80-100).

Driver
Rank
Score /100
Emerging Aspiring Contender Top performer Global Leader
- No ranking change Ranking increase Ranking decrease

Rank

Score /100

Best practice

49
18
49.1
Aspiring
50
7
55.3
Aspiring
55
5
59.7
Aspiring
8
1
97.3
Global Leader
37
8
75.0
Contender
69
1
16.2
Emerging
42
6
34.5
Contender
24
4
46.3
Top performer

Metric Overview

Strengths

Financial stability

Despite a recent downturn, India’s banking sector is showing signs of improved stability in part due to the recapitalisation of Public Sector Banks by the Government and regulatory reforms. The long-term impact of the COVID-19 pandemic is a concern.

Preparation of PPPs

At 82, India’s score on the preparation of PPPs is much higher than the Lower Middle Income Countries’ average of 49. Good practices at the preparation stage helps to ensure that a decision is justified and that the procuring authority is ready to initiate the procurement process.

Cost to start a business

According to the World Bank, it costs approximately 7% of income per capita to start a business in India. This has improved significantly since 2017 due to reforms which included abolishing filing fees to establish a corporation and the establishment of electronic record systems.

Financial stability

Despite a recent downturn, India’s banking sector is showing signs of improved stability in part due to the recapitalisation of Public Sector Banks by the Government and regulatory reforms. The long-term impact of the COVID-19 pandemic is a concern.

Preparation of PPPs

At 82, India’s score on the preparation of PPPs is much higher than the Lower Middle Income Countries’ average of 49. Good practices at the preparation stage helps to ensure that a decision is justified and that the procuring authority is ready to initiate the procurement process.

Cost to start a business

According to the World Bank, it costs approximately 7% of income per capita to start a business in India. This has improved significantly since 2017 due to reforms which included abolishing filing fees to establish a corporation and the establishment of electronic record systems.

Top Performing Metrics

Top Performing Metrics

This is defined by the metrics with the highest unweighted score out of 100. 

Lower middle income country average

Financial markets:
Financial stability

Opportunities to Grow

Post-completion reviews

India does not undertake post-completion reviews for infrastructure projects. The implementation of post-completion reviews could help determine whether projects have achieved their objectives efficiently, and identify areas of improvement.

Value of closed PPP infrastructure deals

The value of closed PPP infrastructure deals is low in India compared to the Lower Middle Income Countries’ average of 38. A low value may reflect government choices to publicly fund infrastructure and may be further impacted by the COVID-19 pandemic.

Private infrastructure investment

Private investment is low. This may reflect poor sentiment from investors or government choices to publicly fund infrastructure. This may be further impacted by the COVID-19 pandemic.

Post-completion reviews

India does not undertake post-completion reviews for infrastructure projects. The implementation of post-completion reviews could help determine whether projects have achieved their objectives efficiently, and identify areas of improvement.

Value of closed PPP infrastructure deals

The value of closed PPP infrastructure deals is low in India compared to the Lower Middle Income Countries’ average of 38. A low value may reflect government choices to publicly fund infrastructure and may be further impacted by the COVID-19 pandemic.

Private infrastructure investment

Private investment is low. This may reflect poor sentiment from investors or government choices to publicly fund infrastructure. This may be further impacted by the COVID-19 pandemic.

Metrics to Improve

Metrics to Improve

This is defined by the metrics with the lowest weighted score out of 100, such that these metrics would have the greatest impact on the overall score.

For metrics that have binary outcomes (yes=100/no=0), no comparative income group average is reported.

Lower middle income country average

Detailed Data

This section shows country data for each of the 41 metrics. Note that all data has been normalised on a scale of 1-100. For raw metric data, please download the complete InfraCompass 2020 dataset. 

Where relevant, some metric scores have been inverted, such that all metrics have positive relationships with good infrastructure outcomes. For example, since lower compliance costs make it easier to invest in infrastructure, the normalised value of ‘number of procedures to start a business’ has been reversed such that lower number of procedures are scored closer to 100, and higher numbers closer to 0. In other words, a score of 0 indicates a poor performance, rather than 0 number of procedures.

Governance Regulatory Permits Planning Procurement Activity Funding Financial
Driver
Rank
Score /100
Emerging Aspiring Contender Top performer Global Leader
- No ranking change Ranking increase Ranking decrease

Metric

India

Lower middle Income Countries Average

Source Link

28.2%

Recovery rate

The recovery rate is recorded as cents on the dollar recovered by secured creditors through reorganisation, liquidation or debt enforcement (foreclosure or receivership) proceedings.

71.6 (+45.6)
31.4

20.7%

Rule of law

World Governance Composite Indicator reflecting perceptions of the extent to which agents have confidence in and abide by the rules of society, and in particular the quality of contract enforcement, property rights, the police, and the courts, as well as the likelihood of crime and violence. The rule of law reflects whether the law imposes limits of power on the state, private sector and individuals.

50.5 (+1.1)
41.5

18.1%

Post-completion reviews

Whether the country conducts post-completion reviews on infrastructure projects to ensure the forecast outcomes are being achieved.

No
-

15.1%

Shareholder governance

Measures the governance practices that protect shareholders through three dimensions: the extent of shareholder rights index (shareholders’ rights and role in major corporate decisions), the extent of ownership and control index (governance safeguards protecting shareholders from undue board control and entrenchment), and the extent of corporate transparency index (corporate transparency on ownership stakes).

60.0
34.2

12.8%

Political stability and absence of violence score

Measures perceptions of the likelihood of political instability and/or politically-motivated violence, including terrorism. Estimate gives the country's score on the aggregate indicator, in units of a standard normal distribution i.e. ranging from approximately -2.5 to 2.5.

34.1
38.7

5%

Infrastructure or PPP agency

Whether an infrastructure agency exists to coordinate an integrated approach to infrastructure delivery and policy.

Yes
-

India

Lower middle Income Countries Average

71.6 (+45.6)
31.4
50.5 (+1.1)
41.5
No
-
60.0
34.2
34.1
38.7
Yes
-

Country Overview Data

India is the most improved country in infrastructure Governance since InfraCompass 2017. The quality of India's infrastructure procurement processes has also improved significantly helping to bring better value for money and better quality outcomes from investment. Regulatory and permits reforms have led to a marked improvement in the ease of starting a business, encouraging investment and competition from new suppliers. However, the impact of the COVID-19 pandemic and the lack of private investment in infrastructure projects present as key challenges for India’s ability to close the infrastructure gap and deliver future projects.
GDP per capita

2,172 USD

Population

1,352 million persons

Infrastructure quality

68.1 (0-100 best)

Infrastructure investment

4.5% of GDP

Private infrastructure investment

1,314 5-year average, USD millions

Infrastructure gap

0.5% of GDP

GDP

2,936 USD billion

GDP growth rate

6.1%

GDP per capita growth rate

6.6%

Gini coefficient

35.7 (0-100 worst)

Gross Government Debt

69.0% of GDP

Inflation rate

3.4%

Summary credit rating

57.0 (0-100 best)

Unemployment rate

2.6%

Urbanisation ratio

34.0% of total population

Road connectivity

75.8 (0-100 best)

Quality of road infrastructure

4.5 (1-7 best)

Efficiency of train services

4.4 (1-7 best)

Efficiency of air transport services

4.9 (1-7 best)

Efficiency of seaport services

4.5 (1-7 best)

Electricity access

87.5% of population

Electricity supply quality

17.6% of output lost

Exposure to unsafe drinking water

51.1% of population

Reliability of water supply

4.4 (1-7 best)

Digital Adoption Index

0.5 (0-1 best)

Mobile-broadband subscriptions

37.5 per 100 population

Fixed-broadband Internet subscriptions

1.3 per 100 population