Modern Indian requires $1 trillion investment in Infrastructure Sector for 12th Plan
When we talk about Modern and Contemporary Indian, we always think about- Infrastructure Sector, and in this sector, the experts believe that it will require an investment of about $1 trillion in the 12th Five Year Plan, double the amount envisaged in the ongoing plan period, as per a report called Real Estate and construction professionals in India by 2020 of realty consultant Jones LangLaSalle, investment in infrastructure during 2007-12 is $500 billion. The report, which was prepared for the Royal Institution of chartered surveyors (RICS), also pointed out that about 97 million jobs are likely to be created over the next 10 years across different sectors in the country. “In 2020, the workforce participation rate will increase to42% with 585 million working population, implying a net increase of 97million people,” it added. Due to this huge increase in jobs, India may need to potentially build an average of 8.7 billion sq ft of real estate space every year, adding up to a whopping 95 billion sq ft between 2010 and 2020, RICS said. The study, however, said there is a huge shortfall of skilled manpower in the infrastructure sector that needs to be addressed with urgency. The country is currently facing massive shortages of skilled workforce in the construction sector. If we do not address this issue, it will be abig deterrent for us. As per estimates, only 27,000 civil engineers are added every year against an annual demand of 4.27 million for the next decade. India’s total strength of civil engineers is about5,33,000. A sustained period of a shortfall in annual supply, coupled with increasing year-on-year demand, could result in a cumulative demand of nearly 40.2 million civil engineers over 2010-20, with a shortfall of 39.4 million civil engineers over the same period. Similarly, the country is likely to witness a total shortfall of 3.64 million architects and 1.1 million planners during the 2010-20 period. The survey, however, said the estimated supply of non-care professionals in the built environment sector is nearly three times the supply of core professionals, but they fall short of desired skills. A large part of this non-core professionals needs to be trained on the real estate, construction, and infrastructure sectors, to convert them into specialized professionals,” the report added. Hence, we can conclude by saying that if we want to see the image of a Modern India, then the pathway of the same starts from-Infrastructure. The Author of the article is Managing Partner of Corporate Solution-A Well-known Firm in Indian Real Estate.