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Rural Infrastructure – How important it is for economic development

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India’s heart lies in its villages! At one hand where the cities have grown immensely over the last few years, rural areas are still looking for significant infrastructural expansions. Infrastructure plays a crucial role for not just the country’s economic growth but also its progress in human development. Rural infrastructure is not only crucial for agriculture, agro-industries but the overall economic development of a country.

This year’s budget has provided a huge push to rural areas. But still, a lot has to be done. For India’s economy to be strong, the rural economy needs to grow.

An overall development is required. The government needs to empower the rural people by providing them education, basic facilities, and proper health care. They need to have proper infrastructure like electricity and water so that they are free from the cycle of droughts and floods.

It’s high time that Govt must look beyond metros and tier-1 cities. The growth of Tier 2 and 3 cities will have a positive impact on the overall rural development. As villages are mainly located near these towns hence expansions of these small towns will support the rural areas and will also even out the increasing urbanization. When rural people get everything of their need in their proximity, they will not migrate to metros and Tier 1 cities.

What’s the importance of Rural Infrastructure?

To make India a robust economy, the government needs a 360-degree plan for rural development. The rural economy needs to grow, only then India can enter in the list of the most developed countries of the world.

Where the problem lies?

Youths from the rural part are moving out for jobs and a better lifestyle. They are hit by problems like malnourishment, illiteracy, unemployment, and lack of basic infrastructure like schools, colleges, hospitals, sanitation, etc. Indian villages need to grow in tandem with cities and standard of lives has to improve there for inclusive growth to happen. If rural India strives, India will also strive.

To control the increasing urban mess we need better the rural infra to hold on to migration

Some estimates suggest that 30 Indians move from a rural to an urban area every minute. Companies like Indian tech majors Wipro and Infosys focus more on outsourcing in rural India.

To address this issue of growing urbanization, the government of India launched the “100 Smart Cities Mission” in 2015 among other urban development projects. But the question here is how successful this mission has been in holding back the migration.

What’s there in 2018 budget for rural infra?

Budget 2018 recognized the gap between urban and rural infrastructure and provided the much-needed boost to rural infrastructure. The Budget has proposed a big expansion of the network of rural roads and agricultural markets.

The government proposed to spend Rs 14.34 lakh crore for creation of livelihood and infrastructure in rural India, aiming to create employment of 321 crore man-days, build more than 3 lakh km of rural roads, 51 lakh new rural houses, 1.88 crore toilets and provide 1.75 crore new household electric connections, besides boosting agricultural growth.

The Union Budget of 2018 has delved deep to identify the basic problems and to provide permanent solutions to those problems, to some extent. However, till the time the ball rolls on the ground, even the bests of the plans are useless.


A successful rural infrastructural development plan integrates the multiple objectives of various sectoral polices related to agricultural and economic growth, food security, poverty alleviation and human development. Now, as the govt has proposed the holistic plan, it’s the concerned authorities’ duty to make it happen.

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