However, channelling domestic and foreign financial savings of this scale into infrastructure will require developing the domestic private corporate debt market. Apart from the need for substantial financial outlays for infrastructure, there are several non-financing constraints: particularly land acquisition delays need to be addressed to avoid time and cost overruns.
Fourth, there is a need for the Government to revert to its rule-based pre-crisis fiscal consolidation path without compromising on the quality of fiscal correction. This is necessary to obviate the risk of twin deficits and to raise the overall saving rate.