India expects to spend $1 trillion, a sum roughly the size of its GDP, between 2012 and 2017 to boost its infrastructure. This is double of what it will spend in the five years to 2012.
Some of this spending has been fast-tracked due to the Games: in addition to venues, a new airport terminal is due to open this month and new subways and roads are being built specifically for the athletes and the hundreds of thousands of visitors expected.
New Delhi is also going through a makeover, with its colonial buildings being renovated and sidewalks ripped out to be repaved. Residents grumble about the chaos, pointing to rubble everywhere and roads that cave in due to underground tunnelling.
"The scale and ability of contractors is going to be a huge issue and a risk for projects," Arvind Mahajan, an infrastructure specialist at consultancy KPMG, told Reuters.
"Many of the bigger and key contractors are sold out, and cost factors, too, are pushing people to look at these smaller players. But if you push too much on cost, the quality would suffer, either in terms of execution or timelines not being adhered to," he added.
The infrastructure woes dogging the Games are not the first example of an Indian signature project going awry. Work on the Delhi Metro, a project backed by top officials, was delayed after an overhead bridge collapse in July 2009, killing five workers. A month later, strong winds blew off the roof of the new airport.
While the construction opportunities in India are huge and capital is plentiful, analysts rue there aren't enough large-scale, quality projects worth financing.
"There is a paucity of high quality, or even quality, projects that are financeable. It's not a question of capital being inadequate," Anil Ahuja, Asia head of private equity firm, told a recent conference as the audience nodded in approval.
A view of the indoor cycling velodrome constructed for the 2010 New Delhi Commonwealth Games
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