The biggest constraint on rapid growth in the years ahead will be the lack of physical infrastructure and its poorer quality compared with our competitors in other developing countries. The deficiencies in our roads, ports, railways, airports, electric power system and also various types of urban infrastructure must be overcome during the 11th Plan period if the industrial sector is to achieve the targeted growth of 10 percent. A start has been made in the 10th Plan to address these gaps in infrastructure, but much more needs to be done. Public investment in this area must be increased. However, the total resources required to correct the infrastructure deficit exceed the capacity of the public sector. The strategy for infrastructure development must therefore encourage public private partnerships (PPP) wherever possible. However the PPP strategy must be based on principles which ensure that PPPs are seen to be in the public interest in the sense of achieving additional supply at reasonable cost.