It consists of the installation of fixed assets including surface roads and railways and terminals such as bus stops, trucking terminals, railways stations. Operations of vehicles along these transport systems make the travel time to reduce and generation of employment in the sector which in aggregate influence the aggregate demand for goods and services that ultimately leads to increase in GDP and overall development.

India has one of the world’s largest road networks. Every year, roads carry about 85% of all people and 70% of all freight. Roads are divided into four categories: National Highways (NH), State Highways (SH), Major District Roads, and Rural Roads.

National Highways

The National Highways are the major roadways built and maintained by the central govt.

These roads are meant for interstate travel as well as the transportation of military personnel and equipment to key locations.

Additionally, these link state capitals, significant cities, vital ports, railway intersections, etc.

State Highways

State governments create and maintain these roadways. They connect the district offices, key towns, and state capitals.

These routes are linked to the National Highways.