Massive Infrastructure Projects Face Significant Cost Overruns in India

A government report highlights that infrastructure projects in India, each valued above Rs 150 crore, have incurred a total cost overrun of Rs 5.42 lakh crore. By December 2025, the revised cost of 1,392 projects was Rs 35.10 lakh crore, with high physical progress seen in the Transport & Logistics sector.

In a revealing government report, infrastructure projects each worth over Rs 150 crore showcase a cumulative cost overrun of Rs 5.42 lakh crore, as of December 2025.

Primarily driven by the Transport & Logistics sector, 1,392 projects, monitored by the Ministry of Statistics and Programme Implementation, have seen costs rise to Rs 35.10 lakh crore, from an original estimate of Rs 29.68 lakh crore.

Notably, 896 projects from this sector underline connectivity as a core focus. PAIMANA, the new project monitoring system, now automates data updates for 60 percent of these projects, signifying a streamlined approach to handling these vital national ventures.

(With inputs from agencies.)