MoSPI Report Reveals Over ₹5.30 Lakh Crore Cost Overrun on Large-scale Central Infrastructure Projects
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Institutions: Ministry of Statistics and Programme Implementation (MoSPI)
The Monthly Flash Report on Infrastructure Projects for September 2025, released by the Ministry of Statistics and Programme Implementation (MoSPI), provides a critical, granular view of the performance of large-scale Central Sector projects costing ₹150 crore and above. The data, compiled from the PAIMANA monitoring portal, reveals persistent and severe challenges in managing project timelines and budgets.
The Key Fiscal Findings highlight the magnitude of the cost escalation:
Total Original Cost of projects monitored stands at approximately ₹25.32 lakh crore (₹25,32,002 crore).
The cumulative Anticipated Completion Cost has surged to approximately ₹30.62 lakh crore (₹30,62,204 crore).
This translates to a total recorded Cost Overrun (COR) of nearly ₹5.30 lakh crore.
Sectoral Concentration and Expenditure Status:
The report identifies Railways as the sector with the largest volume of infrastructure investment, accounting for a total original cost of ₹8,15,578 crore across 249 projects. Other major projects facing delays and cost overruns include the Mumbai-Ahmedabad High Speed Rail Project, the Chennai Metro Rail Phase-II Development Project, key oil & gas refinery expansions, and the crucial BharatNet communication project. As of September 2025, the total expenditure incurred across all monitored projects represents roughly ₹15.85 lakh crore, or 51.78% of the revised anticipated cost.
The continuous and monumental cost overrun figure, totaling nearly one-fifth of the original sanctioned budget, signals deep-seated systemic issues beyond typical project slippages. While MoSPI’s robust monitoring system (PAIMANA) identifies and tracks the problem, the persistence of the cost escalation demands that the administrative Ministries (Railways, Petroleum, Telecommunications) rapidly implement the necessary systemic reforms.
What is PAIMANA?→ PAIMANA (Project Assessment, Infrastructure Monitoring and Analytics for Nation-building) is the online monitoring system managed by the Infrastructure & Project Monitoring Division (IPMD) of MoSPI. It serves as the single source for capturing project status, financial figures (Original Cost vs. Revised Cost), and the issues (such as land acquisition delays or contractual problems) reported by central line ministries and implementing agencies. The cost overrun figure of ₹5.30 lakh crore represents the direct loss of capital efficiency—the difference between the intended spending and the current reality of completing these vital national assets.
Follow the full report here: SEPTEMBER 2025 - MoSPI