Under PM Modi’s Vision, CE Financing Emerges as Pillar of India’s Infrastructure Surge: Union minister HD Kumaraswamy

New Delhi | Feb 25

Union Minister for Heavy Industries and Steel H. D. Kumaraswamy on Wednesday underlined the importance of a strong and resilient financing ecosystem in accelerating India’s infrastructure and manufacturing ambitions, while addressing the 6th Annual Construction Equipment (CE) Finance Conclave in the national capital.

Speaking at the industry gathering, Kumaraswamy said the conclave’s theme — “Building a Resilient Infrastructure and Construction Equipment Financing Ecosystem: Towards Building Domestic Strength for Global Reach” — was closely aligned with India’s long-term growth vision.

“India today stands as the world’s fourth-largest economy and is firmly on course to become the third-largest in the coming years. This growth is powered by infrastructure expansion, manufacturing depth and sustained capital investment,” he said.

Highlighting the Centre’s infrastructure push under the leadership of PM Narendra Modi, the Minister said the government was building long-term industrial capacity alongside physical assets.

“Under the visionary leadership of our Prime Minister, we are laying the foundation for Viksit Bharat 2047 — not just through roads and bridges, but through strong industrial ecosystems,” he observed.

Kumaraswamy noted that the Union Budget 2026–27 has reaffirmed the government’s commitment to infrastructure with a historic public capital expenditure of ₹12.2 lakh crore, covering highways, railways, logistics corridors, ports, renewable energy and urban development.

He also highlighted the proposed Scheme for Enhancement of Construction & Infrastructure Equipment (CIE), being spearheaded by the Ministry of Heavy Industries, to strengthen domestic manufacturing of high-value and technologically advanced equipment.

“This initiative will help Indian manufacturers scale with confidence, innovate with security, and compete globally,” he said.

Referring to industry data, the Minister said India’s construction equipment market is currently valued at around $9.5 billion and is expected to more than double by 2030. The sector recorded sales of over 1.4 lakh units in FY25 and aims to grow into a $25-billion industry by the end of the decade.

Kumaraswamy also drew attention to the impact of emerging technologies such as automation, AI-enabled fleet management, predictive maintenance, and electric and hybrid machinery on operational efficiency. He said initiatives like PM E-DRIVE are accelerating the shift towards cleaner and more sustainable industrial practices.

Emphasising the broader economic impact, the Minister said a robust financing framework would benefit not just manufacturers but also contractors, MSMEs, logistics operators, and infrastructure developers.

“A strong financing ecosystem will create multiplier effects across the economy and strengthen the entire value chain,” he remarked.

Concluding his address, Kumaraswamy called for coordinated efforts among policymakers, financial institutions, and industry stakeholders to position India as a global hub for construction equipment manufacturing and financing.

“The construction equipment sector is not merely participating in India’s growth story — it is constructing it,” he said.