Development Watch – Week #4 Aug’25

Development News

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India to double number of airports by 2047

the central government aims to build 350 airports across the country by the year 2047, as part of its long-term vision for a ‘Viksit Bharat’. India currently has 162 airports, and the government intends to more than double the number over the next two decades. In the last 11 years, we saw 88 new airports being built not only in the big cities, but also in tier two and tier three cities of the country. Wherever airports can’t be built, we want to start heliports there. In hilly regions and the Northeast region, we want to have at least one heliport in every district.

World’s longest high speed rail networks

China is the current leader in high-speed rail, with more than 40,000 km operational, 13,000 km under construction, and over 11,000 km planned. Its system is tens of thousands of kilometers longer than any other country’s. India comes next in terms of ambition, with 508 km currently under construction and plans for nearly 8,000 km of high-speed rail. Spain holds the second spot with 3,600 km operational and expansion plans that will take the network to over 5,500 km. The AVE trains have become a backbone of Spain’s intercity travel. The pioneer of high-speed rail, Japan’s Shinkansen (bullet train) has been running since 1964. With over 3,600 km of tracks, the network is renowned for precision and safety. A 30-second delay can make national news. Next is France with 4,460 km and Germany with 2,009 km.

India needs $467 billion climate finance by 2030

A new study reveals India needs USD 467 billion by 2030 for climate finance. This will help decarbonize power, steel, cement, and transport sectors. Steel and cement require the most investment. The report suggests incentivizing private investment and strengthening the power grid. Mobilizing finance is crucial to avoid high-emission pathways. A new study reveals India needs USD 467 billion by 2030 for climate finance. This will help decarbonize power, steel, cement, and transport sectors. Steel and cement require the most investment. The report suggests incentivizing private investment and strengthening the power grid. Mobilizing finance is crucial to avoid high-emission pathways. It uses a bottom-up methodology, estimating climate finance needs sector by sector to present a “granular understanding” of India’s challenge. decarbonising the four sectors, which together accounted for more than 50 per cent of the country’s carbon dioxide emissions in 2023, would require an average of USD 54 billion a year between 2022 and 2030. This amounts to around 1.3 per cent of India’s GDP. Contrary to the common narrative, the study finds that it is not the power sector, but the steel and cement sectors which need large climate finance.

Lower GST to boost agriculture and rural sectors

A possible reduction in GST on farm equipment from 12% to 5% could provide a meaningful boost to India’s rural economy, according to market expert Ashi Anand. Speaking to ET Now, Anand said the move would come at a crucial time when rural demand is rebounding, while urban consumption is still stabilising. A potential GST reduction on farm equipment could significantly boost India’s rural economy as demand rebounds. Rural recovery post-Covid had been significantly weaker, and it’s only over the past year that we’ve seen momentum return. Bringing farm equipment under the lowest GST slab would clearly act as a demand booster.

India’s wind energy capacity to reach 107 GW by 2030

India’s wind energy capacity is estimated to reach 107 GW by 2030, compared to the government target of 100 GW. This is according to a report by the Global Wind Energy Council (GWEC) released on Tuesday. he latest report, Wind at the Core: Driving India’s Green Ambitions and International Influence, was unveiled in the presence of New & Renewable Energy Secretary Santosh Kumar Sarangi. The report details how installed wind capacity in India can more than double from 51 GW at present to 107 GW by 2030, in line with state-level Resource Adequacy Plans (RAP). reports from organizations like NREL, IEA, WRI, and Lawrence Berkeley recommend even higher wind capacity (121-164 GW) by 2030.

Rs. 1,000 Crores NCD for Delhi Airport

GMR’s Delhi International Airport (DIAL) plans to raise ₹1,000 crore through non-convertible debentures (NCDs) to refinance existing borrowings. These listed, rated, redeemable, and unsecured 15-year bonds will offer an 8.75% coupon. The bonds will be listed, rated, redeemable and unsecured and carry rating of AA from CARE Ratings or ICRA, said the people cited above. The proceeds will primarily be used for refinancing obligations, addressing upcoming bullet repayments and leveraging investor appetite for infrastructure paper. Axis Bank, Barclays and Deutsche Bank are the arrangers for the issue. The 15-year debentures will offer a coupon of around 8.75% per annum, payable quarterly. The issue includes a call option at par after 60 months, exercisable before each redemption date. DIAL will use the proceeds primarily for refinancing existing obligations. Airports have been active issuers in the rupee bond market, taking advantage of relatively stable investor appetite for long-dated infrastructure paper.

AP Maritime Board pact for Port Development

Andhra Pradesh government is planning to develop three major ports. Andhra Pradesh Maritime Board and APM Terminals signed an agreement for this project. The project investment is nine thousand crore rupees. The ports to be developed are Ramayapatnam, Machilipatnam and Mulapeta. This project will generate ten thousand direct jobs. Andhra Pradesh aims to become the eastern gateway for maritime trade. Andhra Pradesh is working on an action plan to establish a port or harbour every 50 km along its over 1,000-km coastline, it added.