Tuesday, 02 January 2024 12:17 GMT

India Construction Industry Report 2025: Output To Expand By 7.1% This Year, Supported By Rising FDI And Increased PPI In Transport Infrastructure And Energy Projects - Forecast To 2029


(MENAFN- GlobeNewsWire - Nasdaq) Key opportunities in India's construction sector include significant investments in transport infrastructure, energy projects, and commercial development, supported by rising FDI. Growth is leveraged by government initiatives and renewable energy targets, despite risks from project delays and regulatory hurdles.

Dublin, Oct. 31, 2025 (GLOBE NEWSWIRE) -- The "India Construction Market Size, Trends, and Forecasts by Sector - Commercial, Industrial, Infrastructure, Energy and Utilities, Institutional and Residential Market Analysis to 2029 (Q3 2025)" report has been added to ResearchAndMarkets's offering.
Indian construction industry to expand by 7.1% in real terms in 2025, supported by rising foreign direct investment (FDI) and increased public and private sector investments in transport infrastructure and energy project

According to the Department for Promotion of Industry and Internal Trade (DPIIT), total FDI in the country grew by 15% YoY, reaching $18.6 billion in the first quarter of financial year (FY) 2025-26 (April 2025 to March 2026). In August 2025, the government allocated INR260.7 billion ($3.1 billion) to develop 128km of roads in Delhi. Projects include a 65km road from Delhi to Dehradun and a 17km road from NH344M to Tronica City.

Also in August 2025, Singapore-based real estate company CapitaLand signed an agreement with the Maharashtra government to invest INR192 billion ($2.3 billion) in the commercial sector for the construction of business parks, data centers, logistics facilities, and industrial parks in Maharashtra by 2030. However, increases in total project costs, delays due to government approval issues, rising government debt, a widening budget deficit, and recent US tariff measures are likely to weigh on the industry's short-term growth.
The Indian construction industry is expected to record an average annual growth rate of 6.1% between 2026 and 2029, supported by investments in manufacturing, infrastructure, and energy projects. The state government of Maharashtra aims to generate 50% of its energy from renewable sources by 2030, supporting the central government's overall target of achieving carbon neutrality by 2070.

In line with this, in June 2025, the government-owned energy company National Thermal Power Corporation (NTPC) reported plans to develop 20GW of hydropower, of which 3GW to 5GW is expected to be completed by 2032. Furthermore, in July 2025, the government signed four agreements with private companies totaling INR320 billion ($3.8 billion) for the construction of four pumped-storage hydropower plants to generate 6.5GW of energy

Scope

  • Historical (2020-2024) and forecast (2025-2029) valuations of the construction industry in India, featuring details of key growth drivers.
  • Segmentation by sector (commercial, industrial, infrastructure, energy and utilities, institutional and residential) and by sub-sector
  • Analysis of the mega-project pipeline, including breakdowns by development stage across all sectors, and projected spending on projects in the existing pipeline.
  • Listings of major projects, in addition to details of leading contractors and consultants

Reasons to Buy

  • Identify and evaluate market opportunities using our standardized valuation and forecasting methodologies
  • Assess market growth potential at a micro-level with over 600 time-series data forecasts
  • Understand the latest industry and market trends
  • Formulate and validate business strategies using the analyst's critical and actionable insight
  • Assess business risks, including cost, regulatory and competitive pressures
  • Evaluate competitive risk and success factors

Key Topics Covered:
1 Executive Summary
2 Construction Industry: At-a-Glance
3 Context
3.1 Economic Performance
3.2 Political Environment and Policy
3.3 Demographics
3.4 Risk Profile
4 Construction Outlook
4.1 All Construction

  • Outlook
  • Latest news and developments
  • Construction Projects Momentum Index

4.2 Commercial Construction

  • Outlook
  • Project analytics
  • Latest news and developments

4.3 Industrial Construction

  • Outlook
  • Project analytics
  • Latest news and developments

4.4 Infrastructure Construction

  • Outlook
  • Project analytics
  • Latest news and developments

4.5 Energy and Utilities Construction

  • Outlook
  • Project analytics
  • Latest news and developments

4.6 Institutional Construction

  • Outlook
  • Project analytics
  • Latest news and developments

4.7 Residential Construction

  • Outlook
  • Project analytics
  • Latest news and developments

5 Key Industry Participants
5.1 Contractors
5.2 Consultants
6 Construction Market Data
7 Appendix

For more information about this report visit

About is the world's leading source for international market research reports and market data. We provide you with the latest data on international and regional markets, key industries, the top companies, new products and the latest trends.

CONTACT: CONTACT: Laura Wood,Senior Press Manager... For E.S.T Office Hours Call 1-917-300-0470 For U.S./ CAN Toll Free Call 1-800-526-8630 For GMT Office Hours Call +353-1-416-8900

MENAFN31102025004107003653ID1110275319



GlobeNewsWire - Nasdaq

Legal Disclaimer:
MENAFN provides the information “as is” without warranty of any kind. We do not accept any responsibility or liability for the accuracy, content, images, videos, licenses, completeness, legality, or reliability of the information contained in this article. If you have any complaints or copyright issues related to this article, kindly contact the provider above.

Search