Kumaraswamy Highlights Need for Resilient Financing Ecosystem To Drive Growth

New Delhi, Feb 25 (KNN) Union Minister for Heavy Industries and Steel H. D. Kumaraswamy on Wednesday highlighted the importance of a resilient financing ecosystem in supporting India’s infrastructure expansion and manufacturing ambitions. 

Addressing the 6th Annual Construction Equipment Finance Conclave in New Delhi, the Minister underscored the role of structured capital access in strengthening the construction equipment sector.

Citing the government’s infrastructure push, the Minister said public investment is being channelled toward both physical infrastructure and long-term industrial capability. 

He pointed to the Union Budget allocation of Rs 12.2 lakh crore for capital expenditure as a structural, multi-year commitment covering highways, railways, logistics corridors, ports, renewable energy and urban infrastructure.

Kumaraswamy also referred to the proposed Scheme for Enhancement of Construction & Infrastructure Equipment (CIE), being advanced by the Ministry of Heavy Industries. The initiative is aimed at strengthening domestic manufacturing capacity for high-value and technologically advanced construction equipment, with a view to improving global competitiveness.

According to industry estimates cited at the event, the Indian construction equipment market is currently valued at approximately USD 9.5 billion and could more than double by 2030. The sector recorded sales exceeding 1,40,000 units in FY25..

The Minister further observed that technological shifts including automation, artificial intelligence-enabled fleet management, predictive maintenance systems, and electric and hybrid equipment are reshaping the sector. 

He noted that government initiatives such as PM E-DRIVE are supporting the transition toward cleaner and more sustainable industrial practices.

Emphasising the broader economic impact, Kumaraswamy said a robust financing framework would have multiplier effects across the value chain, benefiting manufacturers, contractors, MSMEs, logistics operators and infrastructure developers. 

He concluded by urging stakeholders to collaborate in positioning India as a competitive global hub for construction equipment manufacturing and financing, aligned with the country’s long-term development objectives.

(KNN Bureau)