<p>New Delhi: In a major push for infrastructure development, Finance Minister Nirmala Sitharaman on Sunday announced an allocation of Rs 12.2 lakh crore for infrastructure projects in FY 2026-27, marking a 9 per cent increase over FY 2025-26.</p><p>“Public capital expenditure has increased manifold from Rs 2 lakh crore in 2014-15 to an allocation of Rs 11.2 lakh crore in 2025-26. In the coming year, that is, financial year 2026-27, I propose to increase it to Rs 12.2 lakh crore to continue the momentum,” the minister said while presenting the budget .</p><p>To address concerns of private developers, Sitharaman announced the creation of an Infrastructure Risk Guarantee Fund. The fund will offer prudentially calibrated partial credit guarantees to lenders to reduce risks during the construction and early operational phases of projects, thereby encouraging greater private sector participation, particularly in transport, logistics, and manufacturing sectors.</p>.'Seems to have missed the ball': Tharoor's cricketing analogy to slam Union Budget 2026.<p>The Budget also outlined several key infrastructure initiatives, including: Dedicated REITs (Real Estate Investment Trusts) to unlock and recycle real estate assets of CPSEs (Central Public Sector Enterprises), Operationalisation of 20 new National Waterways (NWs) over the next five years, starting with National Waterways -5 in Odisha to connect mineral-rich areas of Talcher and Angul, as well as industrial centres like Kalinga Nagar, to the ports of Paradip and Dhamra, establishment of training institutes as Regional Centres of Excellence along the waterways to develop the required manpower. This will benefit youth across the entire stretch by providing skill training and employment opportunities.</p><p>Setting up a ship repair ecosystem catering to inland waterways at Varanasi and Patna.</p><p>Launch of a Coastal Cargo Promotion Scheme to incentivise a modal shift from rail and road to coastal shipping and inland waterways, with the aim of increasing their combined share from 6 per cent to 12 per cent by 2047.</p><p>To enhance last-mile and remote connectivity and promote tourism, the Minister proposed incentives to indigenise the manufacturing of seaplanes. A Seaplane Viability Gap Funding (VGF) Scheme will also be introduced to support operations, she said.</p><p>“Projects such as the development of new national waterways, the coastal cargo scheme, ship repair ecosystems for inland waterways, and the proposed East-West dedicated freight corridor will greatly enhance multimodal connectivity and cargo productivity, and help lower logistics costs. Initiatives like the Infrastructure Risk Guarantee Fund will further increase investor and lender confidence, leading to faster implementation of large-scale projects,” said Shashi Kiran Shetty, Chairman, Allcargo Group.</p>
<p>New Delhi: In a major push for infrastructure development, Finance Minister Nirmala Sitharaman on Sunday announced an allocation of Rs 12.2 lakh crore for infrastructure projects in FY 2026-27, marking a 9 per cent increase over FY 2025-26.</p><p>“Public capital expenditure has increased manifold from Rs 2 lakh crore in 2014-15 to an allocation of Rs 11.2 lakh crore in 2025-26. In the coming year, that is, financial year 2026-27, I propose to increase it to Rs 12.2 lakh crore to continue the momentum,” the minister said while presenting the budget .</p><p>To address concerns of private developers, Sitharaman announced the creation of an Infrastructure Risk Guarantee Fund. The fund will offer prudentially calibrated partial credit guarantees to lenders to reduce risks during the construction and early operational phases of projects, thereby encouraging greater private sector participation, particularly in transport, logistics, and manufacturing sectors.</p>.'Seems to have missed the ball': Tharoor's cricketing analogy to slam Union Budget 2026.<p>The Budget also outlined several key infrastructure initiatives, including: Dedicated REITs (Real Estate Investment Trusts) to unlock and recycle real estate assets of CPSEs (Central Public Sector Enterprises), Operationalisation of 20 new National Waterways (NWs) over the next five years, starting with National Waterways -5 in Odisha to connect mineral-rich areas of Talcher and Angul, as well as industrial centres like Kalinga Nagar, to the ports of Paradip and Dhamra, establishment of training institutes as Regional Centres of Excellence along the waterways to develop the required manpower. This will benefit youth across the entire stretch by providing skill training and employment opportunities.</p><p>Setting up a ship repair ecosystem catering to inland waterways at Varanasi and Patna.</p><p>Launch of a Coastal Cargo Promotion Scheme to incentivise a modal shift from rail and road to coastal shipping and inland waterways, with the aim of increasing their combined share from 6 per cent to 12 per cent by 2047.</p><p>To enhance last-mile and remote connectivity and promote tourism, the Minister proposed incentives to indigenise the manufacturing of seaplanes. A Seaplane Viability Gap Funding (VGF) Scheme will also be introduced to support operations, she said.</p><p>“Projects such as the development of new national waterways, the coastal cargo scheme, ship repair ecosystems for inland waterways, and the proposed East-West dedicated freight corridor will greatly enhance multimodal connectivity and cargo productivity, and help lower logistics costs. Initiatives like the Infrastructure Risk Guarantee Fund will further increase investor and lender confidence, leading to faster implementation of large-scale projects,” said Shashi Kiran Shetty, Chairman, Allcargo Group.</p>
