DELHI THE HEART OF INDIA

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Executive Summary...... 3 Advantage State.... 4 Delhi Vision.... 5 Delhi An Introduction... 6 Budget 2016-17... 15 Infrastructure Status.17 Business Opportunities... 40 Doing Business in Delhi.. 66 State Acts & Policies... 67 2

EXECUTIVE SUMMARY Strong economic growth Delhi is one of the fastest growing states of the country. At current prices, the gross state domestic product (GSDP) of Delhi was US$ 74.8 billion in 2014-15. Between 2004-05 and 2015-16, GSDP of the state grew at a CAGR of 12.9%. Attractive real estate industry Real estate & construction sector s contribution to the GSDP in the state has increased from US$ 3.24 billion in 2004-05 to US$ 19.26 billion in 2014-15. Government focus towards affordable housing is boosting the growth of the real estate sector in the state. As per the budget 2015-16, the government has constructed 23,000 economically weaker section (EWS) houses in 2014-15 and about 29,000 EWS houses are under different stages of construction. For housing and urban development in Delhi, the State Government has announced plans to invest US$ 297.45 million in 2015-16. Growing tourism industry Owing to its location, connectivity and rich cultural history, Delhi has always been a prime tourist attraction of the country. Delhi is also a key arrival/departure point for both foreign and Indian nationals. Delhi is among the top tourist destinations in India. The number of domestic tourists visiting the state is gradually rising, The number of domestic tourists grew from 18.49 million in 2012 to 22.62 million in 2014-15. As of 2016-17, the government has planned expenditure of US$ 9.32 million on the tourism sector, with focus on developing tourism infrastructure in the state. Policy support The state has set up a single window approval mechanism to facilitate entrepreneurs in obtaining clearance from various departments/agencies for the establishment of industrial enterprises in the National Capital Territory (NCT) of Delhi. The new Industrial Policy 2010-21 aims to provide a conducive environment for knowledge based and hi-tech IT/ITeS industries in Delhi. Source: State Budget, Ministry of Tourism, Central Statistics Office, TechSci Research 3

ADVANTAGE DELHI 2015-16 Per capita GSDP was US$ 5,080. Between 2004-05 and 2015-16, per capita GSDP grew at a CAGR of 11.6% Political Growing and economic demandhub As Delhi is the seat of Central Government, it has an important position in the country in terms of formulation of policies. It has also become an important centre of trade and commerce, as a number of key industry associations operate in the state. The state also hosts several trade conventions and fairs throughout the year. GSDP at current prices increased at a compound annual growth rate (CAGR) of 12% between 2004-05 and 2015-16. Rich skill pool Delhi has a large skill base; 30% of the workforce is qualified for occupations such as engineering, medicine, law, and consultancy. Among all states, Delhi has the largest share of skilled workforce, making it suitable for knowledge-based economic activities such as IT/ITeS, designing, R&D and financial services. As Delhi is the country s capital and has ample facility support, it attracts skilled and semiskilled labour from across the country. It houses a few of the country's most prestigious institutes such as IIT, IIFT, FMS and AIIMS. Advantage Delhi Attractive avenues of investment Delhi has emerged as a key state with immense scope for development of the service industry such as BFSI, IT and ITeS, and consulting, among others. Delhi has an attractive real estate market and is a preferred tourist destination. Many global corporations have offices in the state. The state has a huge potential for agrochemical-based products. Demand is rising in Haryana, UP, Rajasthan, Punjab and major NCR areas like Ghaziabad, Noida, Gurgaon, Meerut & Faridabad. Policy and infrastructure support Delhi has a stable political environment with a single party government. The Delhi Government is committed towards creating a progressive business environment. A range of fiscal and policy incentives are proposed under the Industrial Policy for Delhi. Delhi has a well developed social, physical and industrial infrastructure. It has wide roads, an international airport, and a well developed network of rail and metro infrastructure. The state has more than 100% telecom penetration and high internet penetration. 2015-16 Per capita NSDP was US$ 4,279.60 Between 2004-05 and 2015-16, per capita NSDP grew at a CAGR of 10.51% 4

VISION - 2021 Housing for urban poor to 50-55% of total. Regularise unauthorised colonies. Optimum utilisation of available resources for housing. Enhancement of ground coverage. Upgradation & modernisation of existing industries. Recognition and inclusion of new industries. Locating new school sites adjacent to parks/playgrounds. Provision for vocational facilities. Rationalisation of planning norms with enhanced floor area. Educational facilities Development of multilevel and underground parking space. Integrated multimodal public transport system. Shelter Transportation Vision 2021 Trade & commerce Industry Infrastructure development Health infrastructure Provisions for service and repair activities. Integrated freight complexes and wholesale markets. Develop district and community centres. Alternate source of energy. Power, drainage and waste management. Building regulations for safety of structures as per seismic zone. Land use zoning as per microzonation. Achieve norms of five beds per 1,000 population. Enhancement of FAR for hospitals and other facilities. Source: Delhi Development Authority 5

DELHI FACT FILE Delhi is home to the Union Government of the country and offices of the state government. Delhi is the centre of international politics, trade, culture and literature in India. The NCR of Delhi includes the neighbouring cities of Gurgaon, Noida, Ghaziabad, Faridabad, Neharpar (Greater Faridabad), Greater Noida, Sonepat, Panipat, Karnal, Rohtak, Bhiwani, Rewari, Baghpat, Meerut, Alwar, Bharatpur and other nearby towns. Delhi is the capital of the Republic of India and also a state for administrative purposes. It is one of the largest metropolises in the country. Delhi shares its borders with the states of Uttar Pradesh and Haryana. Delhi has a cosmopolitan culture with a mix of languages in use. English and Hindi are commonly spoken for everyday transactions. Punjabi, Bihari, Haryanvi, etc., are the other languages used. The state of Delhi is divided into 33 sub-divisions under 11 districts. The Union Government s area is managed by the New Delhi Municipal Council (NDMC). Source: Maps of India Parameters Delhi Geographical area (sq km) 1,483 Administrative districts (No) 11 Population density (persons per sq km) 11,320 Total population (million) 16.8 Male population (million) 9.0 Female population (million) 7.8 Sex ratio (females per 1,000 males) 866 Literacy rate (%) 86.2 Source: Delhi Economic Survey 2014-15 6

DELHI IN FIGURES (1/2) Parameter Delhi All states Source Economy 2015-16 2015-16 GSDP as a percentage of all states GSDP 3.67 100.0 GSDP growth rate (%) 13.00 8.64 Per capita GSDP (US$) 5,080 1,546 Physical Infrastructure TechSci Estimates based on Advanced Estimates provided by Directorate of Economics and Statistics of Delhi, Government of Delhi TechSci Estimates based on Advanced Estimates provided by Directorate of Economics and Statistics of Delhi, Government of Delhi TechSci Estimates based on Advanced Estimates provided by Directorate of Economics and Statistics of Delhi, Government of Delhi Installed power capacity (MW) 8,042.47 304,505.75 Central Electricity Authority, as of June 2016 Wireless subscribers (no) 47,283,580 1,033,157,014 Internet subscribers (no) 19,680,000 334,340,000 Telecom Regulatory Authority of India, as of May 2016 Telecom Regulatory Authority of India, as of January 2016 National highway length (km) 80 100,087.08 NHAI & Roads and Building Department Airports (no) 1 125 Airports Authority of India 7

DELHI IN FIGURES (2/2) Parameter Delhi All states Source Social Indicators Literacy rate (%) 86.2 73.0 Census 2011 Birth rate (per 1,000 persons) 21.07 21.6 SRS Bulletin Investment FDI equity inflows (US$ billion) 1 62.15 288.51 Industrial Infrastructure PPP projects Completed & Operational (No) 16 1,246 Department of Industrial Policy & Promotion, April 2000 to March 2016 DEA, Ministry of Finance, Government of India, July 2016 1 Including part of Uttar Pradesh and Haryana, PPP: Public-Private Partnership, SRS: Sample Registration System 8

2004-05 2005-06 2006-07 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13 2013-14 2014-15 2015-16 2004-05 2005-06 2006-07 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13 2013-14 2014-15 2015-16 DELHI THE HEART OF INDIA ECONOMIC SNAPSHOT GSDP GSDP of Delhi at current prices (in US$ billion) GSDP per capita of Delhi at current prices (in US$) 22.4 26.1 30.0 39.2 41.1 CAGR 12.9% 46.3 55.4 63.3 64.1 67.1 74.8 85.4 CAGR 5,080 11.6% 4,252 2,837 3,333 3,739 3,713 3,814 2,498 2,567 1,510 1,729 1,950 At current prices, the gross state domestic product (GSDP*) of Delhi was US$ 85.4 billion in 2015-16. Between 2004-05 and 2015-16, GSDP of the state grew at a CAGR of 12.9%. The state s per capita GSDP^ in 2015-16 was US$ 5,080 in comparison with US$ 1,509.8 in 2004-05. Per capita GSDP increased at a compound annual growth rate (CAGR) of 11.6% between 2004-05 and 2015-16. Growth was driven by the expansion of the services sector. Banking and insurance, real estate, trade, tourism and communications were driving the progress in the sector. Source: GSDP* - Advanced Estimates provided by Directorate of Economics and Statistics of Delhi, Government of Delhi Per Capita GSDP^ - calculated using GSDP million US$/population in million 9

ECONOMIC SNAPSHOT NSDP NSDP of Delhi at current prices (in US$ billion) NSDP per capita of Delhi at current prices (in US$) 21.1 24.7 28.4 37.1 CAGR 12.6% 38.8 43.3 52.9 60.3 61.2 64.2 71.7 78.4 1,425 1,636 1,845 CAGR 10.51% 3,182 2,365 2,422 2,656 4,279.60 4075.5 3,560 3,546 3,649 At current prices, the net state domestic product (NSDP#) of Delhi was about US$ 78.38 billion in 2015-16. The average NSDP growth rate between 2004-05 and 2015-16 was about 12.6%. The state s per capita NSDP & in 2015-16 was US$ 4,279.59 compared with US$ 1,425.4 in 2004-05. The per capita NSDP increased at a CAGR of 10.51% between 2004-05 and 2015-16. Source: NSDP # - Advanced Estimates provided by Directorate of Economics and Statistics of Delhi, Government of Delhi per capita NSDP & - Advanced Estimates provided by Directorate of Economics and Statistics of Delhi, Government of Delhi 10

ECONOMIC SNAPSHOT PERCENTAGE DISTRIBUTION OF GSDP Commerce and trade contribute more to Delhi s economy than manufacturing and agriculture. GSDP composition by sector There has been a shift in the sectoral contribution from primary µ and secondary to the tertiary sector. The overall performance of the economy of the state, during the 2015-16, was encouraging. CAGR 80.50% 15.5% 82.30% In 2015-16, the tertiary sector µ accounted for 82.3% of the GSDP of Delhi, at current prices, followed by the secondary sector µ, which contributed US$ 11.32 billion (15.48%). Tertiary sector of Delhi witnessed growth at a CAGR of 15.5% during 2004-05 to 2015-16, driven by growth in trade, hotels, real estate, banking, insurance, transport, communications and other services. 13.4% 18.40% 22.9% 15.48% 1.10% 2.21% 2004-05 2015-16 Primary sector Secondary sector Tertiary sector Delhi s economy is primarily dominated by knowledge based service industries such as information technology and consulting. Also, the state has small-scale industries that are mostly non-polluting. Source: Sector-wise %share of GSDP µ - Advanced Estimates provided by Directorate of Economics and Statistics of Delhi, Government of Delhi 11

ECONOMIC SNAPSHOT AGRICULTURAL PRODUCTION Commonly grown crops in the state are wheat, rice, jowar, bajra, mustard and vegetables. The total horticulture crop production in the state was recorded to be 387.34 thousand tonnes and the area under cultivation was 21.72 thousand hectares, during 2015-16. Under the Annual Budget plan for 2016-17, Government of Delhi proposed an outlay of US$ 1.06 million for the development of agriculture & allied services in the state. Crop Estimated area, yield & production of crops - 2014-15 Estimated area, yield & production of crops- 2014-15 Area (hectares) Annual production 2014-15 (metric tonnes) Yield (kg. per hectare) Wheat 19,360 85,558 4,419 Barley 64 186 2,906 Bajra 1,520 3,237 2,129 Maize 35 768 21,943 Jowar 3,242 31,313 9,658 Paddy 6,035 15,904 4,292 Gram 41 54 1,317 Potatoes 436 12,276 28,041 Mustard 1,031 1,287 1,248 Source: Ministry of Agriculture, Economic Survey of Delhi 2014-15, Annual Plan 2016-17 12

ECONOMIC SNAPSHOT AGRICULTURE Delhi an important centre for agri-trade in the country The Food Corporation of India (FCI) was set up under the Food Corporations Act, 1964, of the Union Government to meet the objectives of the Food Policy, which are as follows: Effective price support for safeguarding the interests of farmers. Distribution of food grains throughout the country for Public Distribution System (PDS). Maintaining a satisfactory level of operational and buffer stocks of food grains to ensure national food security. Over the years, FCI has played an important role in controlling supply and prices as well as disaster management in times of droughts, etc. The corporation is headquartered in Delhi. The Indian Agricultural Research Institute (IARI), the country's premier national institute for agricultural research, education and expansion, has a centre in New Delhi. The Indian Council of Agricultural Research (ICAR), an autonomous organisation under Ministry of Agriculture, Government of India, is also headquartered in New Delhi. The institute is the apex body for coordinating, guiding and managing research and education in agriculture, including horticulture, fisheries and animal sciences in the country. The Agricultural Economics Research Centre (AERC), University of Delhi was established to carry out research on aspects related to rural economy and agriculture in India. Since inception, the centre has completed more than 300 policy oriented studies for the Ministry of Agriculture, Government of India. 13

ECONOMIC SNAPSHOT FDI INFLOWS & INVESTMENTS Sector- wise plan outlays for 12 th Five Year Plan (2012-17) and Annual Plan 2016-17 FDI equity inflows 1, 2008-09 to 2015-16 (US$ million) Sector 12 th Five Year Plan outlay (US$ million) Approved outlay 2016-17 (US$ million) Rural development 146.32 29.03 7,983 6,242 6,875 12,743 Irrigation & flood control 66.36 9.62 2,677 3,222 Energy 799.60 58.97 Industries 33.01 4.74 Transport 3642.11 602.35 Tourism 30.69 9.32 Civil supplies 132.71 3.67 General education 1715.99 634.74 2010-11 2011-12 2012-13 2013-14 2014-15 2015-16 According to the Department of Industrial Policy & Promotion (DIPP), the cumulative FDI inflows 1, from April 2000 to March 2016, stood at US$ 62.15 billion. Technical education 241.87 59.27 Art & culture 48.27 8.25 Sport & youth services 24.47 7.33 Medical 2145.74 416.28 Source: Department Of Industrial Policy & Promotion, 1 Including part of Uttar Pradesh and Haryana 14

ANNUAL BUDGET 2016-17 The total budget allocation for the year 2016-17 was recorded to be US$ 7.12 billion, of which US$ 3.15 billion has been allocated as plan budget whereas US$ 3.97 billion has been allocated as the non-plan budget, during 2016-17. Plan outlay & expenditure 2016-17 of some of the major sectors Sectors Amount (US$ million) Education 1,633.06 Health 803.39 Public Transport 265.05 Road Infra 337.31 Women Safety, Security & Empowerment 163.15 Social Security & Welfare 210.97 Water & Sanitation 301.86 Energy 244.42 Housing and Urban Development 376.72 ART & CULTURE 8.25 Tourism 1.53 Source: Finance Department, Government of Delhi 15

PHYSICAL INFRASTRUCTURE ROADS (1/2) The road network of Delhi has increased from 32,131 km in 2007-08 to 33,198 lane km in 2014-15. National Highways Authority of India (NHAI), Public Works Department (PWD), Municipal Corporations of Delhi (MCD), New Delhi Municipal Council (NDMC), Delhi Cantonment Board (DCB) and Delhi Development Authority (DDA) are the responsible authorities for the development and maintenance of road network in Delhi. Road type Length (km) Total road length 33,198 National highways 80 Growth of road network in Delhi by agency (km) Agency 2008 2009 2010 2011 2012 2013 2014 2015 MCD 27,139 27,139 27,139 27,139 26,459 23,931 23,931 23,931 NDMC 1,290 1,290 1,290 1,290 1,290 1,290 1,290 1,290 Public works department (Delhi Government) National highways 182 356 356 360 360 360 360 360 Other roads 2,230 2,270 2,300 2,400 3,180 5,708 5,708 5,708 DSIIDC 1,250 1,317 1,317 1,434 1,434 1,434 1,434 1,434 I&FC 40 40 40 40 40 40 40 40 DDA N.A. N.A. N.A. N.A. 435 435 435 435 Source: Delhi Statistical Handbook 2014-15 N.A.: Not Available 16

As per Annual Plan 2016-17, the total allocation made by the state government for transport sector was recorded to be US$ 602.35 million. As per the State Budget 2016-17, Government of Delhi decided to re-design 11 roads during 2016-17, with a view of making the streets usable for physically challenged people as well as pedestrians and for promoting use of cycles to commute. This would in turn ease the burden on public transport system in the state. Moreover, the state government announced its plans of constructing 2 elevated BRT corridors from Wazirabad to Airport (North-South corridor) and from Anand Vihar terminal to Peeragarhi (East West Corridor), during 2016-17. By the end of 2016, the Government of Delhi is set to procure 1,380 semi low floor buses, 500 midi buses under DTC and around 1,000 more buses under cluster scheme for strengthening the transportation facility in Delhi. As per budget 2016-17, at a cost of US$ 192.63 million, the construction work of an elevated road from Sarai Kale Khan to Mayur Vihar is expected to be completed by the end of 2017. Moreover, during 2016-17, the elevated road from Jawhar Lal Nehru Stadium to INA (Aurobindo Marg), is expected to become operational. For these 2 projects, the state government allocated an amount of US$ 61.10 million. A total of 3,105,081 private vehicles and 393,109 commercial vehicles were registered in the state upto March, 2016. These included 19,109 buses, 5,849 E-Rickshaws, 1,507 tractors, 262,547 motor car, etc. PHYSICAL INFRASTRUCTURE ROADS (2/2) Major schemes for Delhi s road transport Computerisation of records Motor driving training schools Mass Rapid Transit Systems (MRTS) Decongestion & Rationalisation of Inter-State Bus Terminals Control of vehicular air pollution Parking facilities Restructuring of Delhi Transport Corporation Incentives for replacement of old Light Commercial Vehicles Vehicle population Vehicles 2013-14 2014-15 Cars & jeeps 26,25,250 27,90,566 Motorcycles & scooters 52,96,163 56,81,265 Ambulance 1,519 1,527 Auto rickshaws 78,750 81,633 Taxies 74,758 79,606 Buses 19,641 19,729 Source: Department of Planning, Government of NCT of Delhi, State Budget 2016-17, Annual Plan 2016-17 17

PHYSICAL INFRASTRUCTURE RAILWAYS Delhi is well connected by rail network to other parts of India. A significant part of trade is supported by the strong railway links. New Delhi Railway Station, which is one of the busiest stations in the Indian Railway system, serves as the headquarters of Northern Railways. A large load of inter-state transport is borne by railways. Rail passengers will be able to monitor the arrival and departure of trains on their smartphones at New Delhi, Old Delhi, Anand Vihar, Sarai Rohilla and Hazrat Nizamuddin stations in New Delhi. Delhi Metro Phase I Phase II Phase III 20.23% underground 72.85% elevated 6.91% at grade 27.92% underground 33.79% underground 70.33% elevated 66.21% elevated/at grade 1.73% at grade Not Available Phase Delhi Metro existing phase length Length (km) Phase I 65.05 Phase II 122.36 Phase III 117.57 (after completion) Funds sanctioned and released for metro rail projects (2012-13 to 2015-16) Project Funds Sanctioned Funds Released Approved Completion Date Progress (2015-16 (1) ) Delhi Metro Phase II & III Dwarka to Najafgarh 2008 Extension of Delhi Metro to YMCA Chowk, Faridabad Yamuna Vihar to Shiv Vihar Mundka to Bahadurgarh US$ 1.787 billion US$ 1.770 billion December 2016 2006 2016 (expected) 2021 (expected) Source: Delhi Economic Survey 2014-15, Delhi Metro Rail Corporation, (1) up to October 2015 18

PHYSICAL INFRASTRUCTURE RAILWAYS DELHI METRO RAIL (1/3) The Delhi Metro Rail Corporation (DMRC) was registered in 1995 under the Companies Act, 1956, for development of Delhi Mass Rapid Transit System (MRTS). DMRC has equal equity participation from the Government of India and Government of National Capital Territory of Delhi (GNCTD). Average ridership of Delhi Metro was approximate 24 lakh per day during 2014-15. The objectives of the Delhi Metro Rail are as follows: To cover the whole of Delhi with a metro rail network by 2021. Delhi Metro to have world-class standards in terms of safety, reliability, punctuality, comfort and customer satisfaction. Delhi Metro to operate on commercial lines, obviating the need for Government support. In 2016-17 budget, the state government proposed to invest US$ 116.55 million for the DMRC. Additionally, in November 2015, first corridor, from Jahangirpuri to Badli, of phase-iii metro project became operational. This phase-iii project is expected to be completed by December 2016 which will help in raising the Delhi Metro daily ridership from 2.7 million to 4.1 million. The state government is also planning to introduce 248 new mini buses in the state during 2016-17, which will, thereby, result in an increase in the total fleet of the metro feeder buses to 517 across 93 routes. As of October 2016, Delhi Metro Rail Corporation (DMRC) announced its plans to add 258 more coaches to its existing fleet of trains plying on the Yellow, Blue, and Red Lines With investment of around US$1.50 billion, Indian Railways is planning on increasing the speed of trains to up to 160 km per hour under the project Mission Raftaar, on the Delhi-Howrah and Delhi-Mumbai routes. The Board of National Capital Region Transport Corporation has invested US$ 3.34 billion in the Rapid Rail Transit Corridor (RRTC), which will operate between Delhi, Ghaziabad and Meerut, making it a 92 km long corridor. Source: Delhi Economic Survey 2014-15, Delhi Metro Rail Corporation, State Budget 2015-16 19

PHYSICAL INFRASTRUCTURE RAILWAYS DELHI METRO RAIL (2/3) Phase-I network Line Length (km) No of stations Line No 1-Shahdara-Tri Nagar-Rithala 22.06 18 Line No 2-Vishwa Vidyalaya-Central Secretariat 10.84 10 Line No 3-Indraprastha-Barakhamba Road-Dwarka sub-city 32.1 30 Phase-II network Line Length (km) No of stations Shahdara-Dilshad Garden 3.09 3 Indraprastha-Noida (Sector-32) City Centre 15.07 11 Yamuna Bank-Anand Vihar ISBT 6.17 5 Vishwavidyalaya-Jahangir Puri 6.36 5 Inderlok-Kirti Nagar-Mundka 18.46 16 Central Secretariat-HUDA City Centre 27.45 19 Dwarka (Sector-9)-Dwarka (Sector-21) 2.76 2 Airport Express Line 22.7 6 Anand Vihar-KB Vaishali (Ghaziabad) 2.57 2 Central Secretariat-Badarpur (Faridabad) 20.04 16 Source: Delhi Metro Rail Corporation, News Article 20

PHYSICAL INFRASTRUCTURE RAILWAYS DELHI METRO RAIL (3/3) Phase-III network Line Length (km) No of stations Line 7- Majlis Park-Shiv Nagar 58.59 38 Line 8- Janakpuri West-Kalindi kunj 34.27 23 Line 6- Central Secretariat-Kashmiri Gate 9.37 7 Line 2 Extn.-Jahangirpuri-Badli 4.48 3 Line 6 S- Badarpur-Faridabad 13.87 9 Line 5 Extn.-Mundka-Bahadurgarh 11.18 7 Dwarka-Najafgarh 2.75 3 Kalindikunj-Botanical garden 3.96 2 Escorts Mujesar-Ballabhgarh 3.20 2 Dilshad Garden-Ghaziabad Bus Adda 9.41 7 Noida City Centre- Sector 62 Noida 6.67 6 Phase-IV Network (proposed) 6 corridors 103.93 N.A. Source: Delhi Metro Rail Corporation N.A. Not Available 21

PHYSICAL INFRASTRUCTURE AIRPORTS The Indira Gandhi International Airport, one of the busiest in the world, was ranked the second-best airport in the world in 2011 by the Airports Council International. The Indira Gandhi International Airport has been awarded the 'International Safety Award' by British Safety Council. The airport handled around 40.98 million passengers in 2014-15 and 48.42 million passengers in 2015-16. Terminal 3 is spread over a 500,000 square metre area and equipped with 95 immigration counters, 168 check-in counters and 78 passenger boarding bridges to handle 34 million passengers per annum (MPPA) and 12,800 bags per hour. The planned ultimate design capacity of the airport is 100 MPPA. Airport indicators Year Passengers Aircraft movement Freight handled (tonnes) 2011-12 34,729,467 345,143 600,045 2012-13 34,211,608 280,713 546,311 2013-14 36,876,986 290.772 605,699 2014-15 40,985,555 300,889 696,539 2015-16 48,424,165 344,113 787,168 Source: Airports Authority of India, 22

2008-09 2009-10 2010-11 2011-12 2012-13 2013-14 2014-15(¹) 2015-16 DELHI THE HEART OF INDIA PHYSICAL INFRASTRUCTURE POWER (1/4) As of June 2016, Delhi had a total installed power generation capacity of 8,042.47 MW Installed power capacity (MW) Thermal power plants accounted for 7,117.88 MW of the total installed capacity, followed by hydro power plants with installed capacity of 762.64 MW, nuclear power plants with 122.08 MW of installed capacity and 39.87 MW of other renewable energy sources. 3,677 4,115 5,802 6,337 7,413 7,419 8,274 8,342 As of June 2016, central utilities sector accounted for a majority of the share in the total installed capacity in the state, accounting for 5,513.70 MW of the installed capacity, followed by 1,935.40 MW by the state utilities and around 593.37 MW by private utilities. Segment Power generation Power transmission Power distribution Name of company Indraprastha Power Generation Co Ltd (IPGCL) Pragati Power Corporation Ltd (PPCL) NTPC Ltd Delhi TRANSCO Ltd (DTL) BSES Yamuna Power Ltd (BYPL) BSES Rajdhani Power Ltd (BRPL) Tata Power Delhi Distribution Limited (TPDDL) New Delhi Municipal Council (NDMC) Military Engineering Services (MES) Source: Central Electricity Authority, 1 As of November 2015 23

PHYSICAL INFRASTRUCTURE POWER (2/4) IPGCL and PPCL were the two state-owned power generating entities. To improve power generation and operational efficiencies, the Government decided to merge IPGCL and PPCL into a single entity. During 2015-16, the state government minimized the average load shedding to 0.15%. Moreover, electricity bills were reduced by 50% in the state, for the consumers that consumed up to 400 units of electricity every month. Moreover, as per the state budget 2016-17, the state government has allocated a plan outlay of US$ 244.42 million for the development of energy sector in the state. The load growth pattern of Delhi was of the order of 6.32% during the years 2009 to 2015. The load demand in the capital is estimated to grow approximately @ 7% per annum. Electricity distribution in Delhi (in MU) Year Domestic Commercial Industrial Others 2008-09 7,481 4,701 2,851 2,311 2009-10 8,753 4,741 2,991 1,359 2010-11 9,723 5,074 3,008 1,953 2011-12 10,396 6,253 2,989 2,062 2012-13 10,796 5,569 2,979 2,017 2013-14 11,609 6,786 3,064 2,322 2014-15 12,649 6,370 3,062 3,029 Electricity consumer in Delhi (in 000s) 5,405 4,897 4,407 4,301 4,464 The per capita consumption of electricity of Delhi is much higher than the national average. Government prepared a proposal for islanding of Delhi, which was approved by Government of India. The project is under implementation. Source: Delhi Economic Survey 2014-15, Delhi Electricity Regulatory Commission Delhi Planning Department 2010-11 2011-12 2012-13 2013-14 2014-15 24

PHYSICAL INFRASTRUCTURE POWER (3/4) Power distribution in Delhi As of March 2015, BSES Yamuna distributed power to around 1.35 million customers in Central and East Delhi. Moreover BSES Rajdhani accounts for a customer base of 1.85 million customers in the areas of South and West Delhi. TPDDL distributes power to around 1.35 million customers spread over a 510 sq km area in North and Northwest Delhi. DISCOM 2 DISCOM 3 DISCOM 1 NDMC serves around 70,000 customers in New Delhi, while MES serves around 10,000 customers in Delhi cantonment. Infrastructure investments by power companies in Delhi (US$ million) Year BYPL BRPL NDPL Total 2010-11 29.66 50.07 77.23 156.96 2011-12 16.40 34.26 60.70 111.36 2012-13 22.10 44.30 48.60 115.01 2013-14 38.16 44.71 54.16 137.02 2014-15 38.06 49.77 43.83 131.76 Energy consumption in Delhi (in MUS) 29,035 28,021 27,235 25,581 25,593 2010-11 2011-12 2012-13 2013-14 2014-15 Source: Delhi Planning Department 25

PHYSICAL INFRASTRUCTURE POWER (4/4) During 2016-17, Government of Delhi is expecting the energy requirement in the state to reach 31,110 MU and peak requirement to reach 6,100 MW. Further during 2021-22, the energy requirement is expected to increase to 52,930 MU and peak load to reach 9,024 MW. Government expenditure in energy sector (US$ million) 391.05 312.08 234.14 122.90 97.22 54.98 54.08 96.43 35.98 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13 2013-14 2014-15 2015-16 Source: Delhi Planning Department CEA Report 26

PHYSICAL INFRASTRUCTURE TELECOM According to Telecom Regulatory Authority of India (TRAI), Delhi had nearly 47.28 million wireless subscribers and 3.18 million wire-line subscribers, as of June 2016. By May 2016, 8,753,943 subscribers had submitted requests for mobile number portability (MNP) in Delhi. Moreover, tele density in Delhi stood at 235.39%, the highest in the country. As of April 2016, the state recorded 18,843 new telephone wireless connections of Tata, 24,697 connections of Vodafone and 70,580 wireless connections of Reliance. Telecom infrastructure (as of May 2016) Wireless connections 47,283,580 Wireline connections 3,179,606 Internet subscribers 1 19,680,000 Post offices 2 551 Teledensity (in%) 235.39 Source: Telecom Regulatory Authority of India, Delhi Economic Survey 2014-15, 1 As of January 2016, 2 As of December 2015 Some of the major telecom operators in Delhi Bharti Airtel IDEA Cellular Vodafone Essar Mahanagar Telephone Nigam Limited (MTNL) Aircel Limited Reliance Communications Tata Teleservices 27

DEVELOPMENT PROJECTS: URBAN INFRASTRUCTURE According to the Delhi 2021 Master Plan, special emphasis has been laid on improved solid-waste management policies. The short-term goals are capacity building with respect to financial services and performance management, effecting trial runs of collection and wastereduction schemes, developing transport, landfill sites and transfer stations for waste and focusing on biomedical and hazardous waste management programmes. With respect to traffic management, the focus of the master plan is on developing an integrated multimodal transport system, creating infrastructure for alternate transport (e.g., bicycles), creating an environment for public transport prioritisation by customers and improving suburban railway with technology upgrade. The Delhi Development Authority has approved a new land pooling policy, which is expected to result in five more sub-cities, such as Dwarka, Rohini and Narela, in other urban extension areas. The new policy would ensure that the private sector is involved in the development of new urban extension areas in the cities About 98% of the total population of Delhi lives in urban areas. The state has very strong electrification level and about 99% of the households had access to sanitation facilities. As per annual budget 2016-17, an amount of around US$ 376.71 million was proposed for the housing and urban development sector and US$ 45.82 million has been sanctioned for completing new development work across the unauthorised colonies under DSIIDC. Moreover, for completing the on-going work across the unauthorised colonies, US$ 29.02 million has been allocated. World's largest LED street light replacement project was completed by South Delhi Municipal Corporation (SDMC) in south Delhi wherein two hundred thousand conventional street lights were replaced with energy efficient LEDs. This initiative under the Street Lighting National Programme was implemented by the Energy Efficiency Services Limited of Ministry of Power, and is expected to save 61 crore units of electricity per year. In addition, installation of LED street lights in Delhi will help curb release of carbon dioxide gas in the atmosphere by 44,000 tonnes per year. Key plans under annual budget 2016-17 Allocation of US$ 53.46 million for Citizen Local Area Development scheme. Provision of clean toilets across the JJ clusters through Jan Suvidha Complexes. An allocation of US$ 15.27 million has been made for the same. Allocation of US$ 15.27 million under DUSIB Source: JNNURM, Ministry of Urban Development, Delhi State Budget, 2016-17 28

DEVELOPMENT PROJECTS: KEY PUBLIC PRIVATE PARTNERSHIP PROJECTS (1/2) Project name Type Sector Stage Project cost (US$ million) Delhi-Gurgaon Highway BOT Transport Operational 117.8 Narela Industrial Estate-Redevelopment N/A Social and commercial infrastructure Operational 21.6 Bawana Industrial Estate-Redevelopment N/A Social and commercial infrastructure Operational 14.9 Construction of 197 Bus-Q-Shelters in NDMC area BOOT Transport Operational 2.5 Modernisation of Delhi International Airport PPP Transport Under construction 1,426.68 Integrated Municipal Waste Processing Complex at NDMC Compost Plant site Okhla Development of Integrated Multilevel Parking Infrastructure at 3 sites in NDMC Area Multilevel Automated car parking cum commercial complex, Kamla Nagar, New Delhi PPP Water sanitation Under construction 10.78 PPP Transport Under construction 1.33 PPP Transport Under construction 18.15 Delhi-Noida Toll Bridge BOOT Transport Under Construction 67.7 Water Supply Improvement (Malviya Nagar) Pilot Project PPP Water sanitation Under construction 86.11 Water Supply Improvement (Mehrauli) Project PPP Water sanitation Under construction 33.34 Development of 250 Bus Queue Shelters (BQS) N.A. Transport Under Construction 6.2 Solid Waste Management (Shahdara) Project PPP Water sanitation Under construction 2.99 Source: DEA, Ministry of Finance, Government of India 29

DEVELOPMENT PROJECTS: KEY PUBLIC PRIVATE PARTNERSHIP PROJECTS (2/2) Project name Type Sector Stage Project cost (US$ million) Bus queue shelters PPP Transport Terminated N.A. Dwarka ISBT BOO Transport N.A. 54.7 New Delhi Railway Station DBFO Transport N.A. 85.6 Source: DEA, Ministry of Finance, Government of India N.A.: Not Available 30

DEVELOPMENT PROJECTS: SEZS AND INDUSTRIAL CLUSTERS (1/3) SEZs IT and ITeS SEZ-Baprola Industrial clusters in Delhi Narela Industrial Complex Bawana Industrial Area Gems and Jewellery SEZ-Baprola Kirtinagar Industrial Area Mangolpuri Industrial Area Naraina Industrial Area IT Park, Shastri Park, DMRC INDEX SEZ Location Industrial Area Location Operational Under construction Okhla Industrial Area 31

DEVELOPMENT PROJECTS: SEZS AND INDUSTRIAL CLUSTERS (2/3) On the industrial infrastructure front, the state has undertaken a number of development initiatives such as redevelopment of industrial clusters and maintenance of industrial areas under the Public-Private Partnership (PPP) model. The state government has initiated a set of prestigious projects, including those in industrial infrastructure for specific sectors, through the Delhi State Industrial and Infrastructure Development Corporation Limited (DSIIDC). During 2015-16, 1,490 cluster buses were active in the state. Under the state s cluster scheme, 1,000 new buses are proposed to be introduced during 2016-17. Formally approved SEZ in Delhi Project Name Location Sector Delhi State Industrial Information Development Corporation Ltd. Delhi State Industrial Information Development Corporation Ltd. Baprola village, Delhi Baprola village, Delhi IT Gems and Jewellery Narela Industrial Complex DSIIDC has developed 612 acres of land in Narela. The first phase of construction of 1,800 plots is complete. The construction of facility centres providing shops and commercial spaces has already been completed. About 50,000 trees have been planted in the complex. An area of 10 acres covered under the central park is proposed to be developed as central plaza. Of the remaining land available in the estate, 70 acres is proposed to be utilised for relocation of industries. There is also a proposal for construction of a high-tech estate for ITeS in an area of 50 acres available in the complex. Source: Ministry of Commerce & Industry, Department of Commerce The Delhi-Mumbai Industrial Corridor Development Corporation (DMICDC) has finalized a policy to allot land developed by it at four sites on the proposed 1,504 Km corridor, which will enable industries to acquire the land for setting up units. The Centre has already invested US$ 1.07 billion in developing these projects. Source: Ministry of Commerce & Industry, Department of Commerce Source: india-briefing.com 32

DEVELOPMENT PROJECTS: SEZS AND INDUSTRIAL CLUSTERS (3/3) Major industrial areas in Delhi Kirtinagar Industrial Area Mangolpuri Industrial Area Description Kirtinagar Industrial Area is located in the western part of Delhi and has been developed by the DSIIDC. Mangolpuri Industrial Area is located in the western part of Delhi and has been developed by the DSIIDC. Naraina Industrial Area Naraina Industrial Area is located in the western part of Delhi. It was set up by the Delhi Development Authority (DDA) in 1970. It occupies a place of pride among the industrial estates in Delhi and is divided into two phases with around 1,200 industrial units, which manufacture electronic and electrical goods, engineering goods, plastic goods, readymade garments and sanitary fittings. Okhla Industrial Area Okhla Industrial Area is located in the southern part of Delhi and is a hub of industrial activity. Many export houses are located in the area along with some prominent multinationals such as Oriflame, Reckitt Benckiser etc. Bawana Industrial Area Bawana Industrial Area is located in the northern part of Delhi, where DSIDC will develop 15,250 plots of 100 250 square metres each by 2021. 33

SOCIAL INFRASTRUCTURE EDUCATION (1/2) Delhi has a literacy rate of 86.2%, the male literacy rate is 91.03% and the female literacy rate is 80.93%. As per 2016-17 budget, the state government allocated US$ 1.63 billion for the development of the education sector in the state. Moreover, work on construction of a sports school and a sports university in the state is also under process. As per annual plan of 2015-16, Government of Delhi sanctioned US$ 634.73 million for improving the condition of general education sector, which includes primary education and higher education, and US$ 59.27 million for development of the technical education sector in the state. Under the 12 th Five Year Plan during 2012-17, the Government of Delhi has allocated US$ 1.90 billion for general education and US$ 268.45 million for technical education. Recognised universities Delhi University Jawaharlal Nehru University Jamia Millia Islamia University Guru Gobind Singh Indraprastha University Indira Gandhi National Open University Government expenditure in education sector (US$ million) 393.09 327.14 252.39 338.99 Category Literacy rate (%) Total 86.2 Male 91.03 2012-13 2013-14 2014-15 2015-16 Female 80.93 Source: Delhi Economic Survey 2014-15 Delhi Planning Department 34

SOCIAL INFRASTRUCTURE EDUCATION (2/2) In 2014-15, the enrolment of students stood at 3,199,000 in primary schools and 1,214,000 in high schools. For providing high quality training and capacity building to the government teachers and principals in the state, the state government has decided to send them to the best universities such as Harvard, Oxford, etc. across the world. For this purpose, an allocation of US$ 15.58 million has been proposed by the state government. Educational infrastructure (2014-15) Primary schools 3,739 High schools 2,059 Universities 11 Deemed universities 12 Pre primary and primary Education statistics (2014-15) Nos Number of students ( 000) Number of teachers ( 000) 2,806 2,083 29.708 Institutes of national importance 3 Colleges for general education 81 Colleges for professional education 100 Source:Delhi State Portal Middle 933 1,116 11.741 Secondary 385 652 9.370 Senior secondary 1,674 562 88.661 Total 5,798 4,413 139.480 Source: Delhi State Portal 35

SOCIAL INFRASTRUCTURE HEALTH (1/2) Delhi has one of the best health infrastructures in the country. The state offers sophisticated medical care with the latest state-of-the-art technology for treatment. Expenditure incurred under Central Government Health Scheme (CGHS) for Hospitals in Delhi (in US$ million) (upto July 2015) During 2015-16, the first Mohalla Clinic became operational in the state which caters to provision of required medicines as well as tackling various healthcare needs of the citizens. 1.64 1.78 2.17 0.61 Further, the state government is also renovating various hospitals in the state. Additionally, new institutions are also being set up which are expected to provide the state with an additional 10,000 beds in coming 2 years. Health infrastructure (November, 2015) Active primary health centres 562 Active sub centers 417 2012-13 2013-14 2014-15 2015-16 The Government of Delhi proposed an overall outlay of US$ 803.39 million for the development of the healthcare sector under state budget 2016-17. In addition, the Government of Delhi has made all diagnostic tests as well as medicines free of cost across various government hospitals of the state from 1 st March, 2016. Active community health centres 191 Active district hospitals 59 Active sub district hospitals 33 Source: Delhi Statistical Handbook 2014-15, Ministry of Health & Family Welfare 36

SOCIAL INFRASTRUCTURE HEALTH (2/2) Key highlights for the health sector in Delhi s state budget 2016-17 are: The state government is planning to increase and complement the capacities of diagnostics in the state through PPP based radiology diagnostics services and labs. Allocations of US$ 10.69 million, US$ 1.52 million and US$ 763.82 thousand has been made for lab diagnostics, Tele-radiology and CT/MRI facilities, respectively, which are to be established under PPP mode in the state during 2016-17. Health indicators (2015-16) Birth rate 1 21.07 Death rate 1 5.52 Infant mortality rate 2 21.1 Hospital Health infrastructure budget Initial number of beds Revised number of beds Medical college, Dwarka 700 1,500 Hospital complex at Burari 200 800 New hospital complex Ambedkar Nagar 200 600 Deep Chand Bandhu Hospital 200 400 Government expenditure on medical and public health sector (US$ million) 253.19 242.40 28.37 24.97 306.51 258.76 52.93 50.57 2012-13 2013-14 2014-15 2015-16 Source: SRS Bulletin, Delhi Economic Survey 2014-15, State Budget 2016-17, 1 Per thousand persons; 2 Per thousand live births Delhi Planning Department Medical Public Health 37

CULTURAL INFRASTRUCTURE Delhi s rich history is reflected in its forts, monuments, palaces, gardens and bazaars created by its rulers during different periods of their occupation. The remains of a large number of such historical places and monuments are the sites of attraction for visitors and tourists in Delhi. In addition to these historical places, a large number of gardens, buildings, playgrounds, institutional buildings, markets and event places were constructed by the British until 1947, and thereafter, by the Government of India and Government of Delhi. Under the 12 th Five Year Plan the Government of Delhi proposed an outlay of US$ 53.58 million for the art & culture sector and US$ 27.15 million for sports and youth services. During 2016-17, the proposed amount under the annual plan stood at US$ 8.24 million for arts and culture sector and US$ 7.33 million for sports and youth services sector. The state government has decided to conduct a huge talent hunt show across schools for the promotion of music, theatre, dance and drama, during 2016-17. As per state budget 2016-17, an allocation of US$ 8.24 million has been proposed for art, culture and language sector. During 2015-16, various cultural festivals were conducted in the state by Sahitya Kala Parishad, for the promotion of state s cultural infrastructure across the country. These cultural festivals included the presence of various renowned artists from across the globe. In November 2016, Government of Delhi launched the Yamuna riverfront project, at an estimated cost of US$ 29.88 million. The project aims to beautify the Yamuna riverfront and will be constructed using eco-friendly materials. By early 2017, the Delhi Urban Art Commission (DUAC) is planning to come up with, Art Master Plan, to promote public art in the state. During November 2016, over 7,000 volunteers planted more than 30,000 saplings at Tughlaqabad Biodiversity Park, under the Green Drive initiative launched by Times of India with Hero Moto Corp. and Delhi Development Authority. Historical monuments in Delhi Qutub Minar Lotus Temple Humayun s Tomb Parliament House Red Fort (Lal Qila) Purana Qila India Gate Rashtrapati Bhawan Jama Masjid Safdarjung Tomb Jantar Mantar Lodi Tomb Museums in Delhi Doll Museum India Habitat Centre National Museum National Railway Museum National Science Centre Tibet House Source: Delhi Economic Survey 2014-15, State Budget 2016-17, Annual Plan 2016-17 38

AMRUT AND SMART CITIES On account of initiatives taken by the Government, development of smart sub cities is foreseen in the state. The Central Government has agreed to the development of the project by introducing the Land Pooling Policy. New Delhi Municipal Council has been selected by the central government to be developed as a smart city. The smart sub cities in the state will have access to 24 hour water and power supply along with hi speed Wi-Fi connectivity and an efficient solid-waste management system. Nearly 24,000 acres of land across areas in Najafgarh, Kanjhawala and Narela is expected to be procured for the development of sub smart cities in the state. Source: Maps of India 39

KEY INDUSTRIES (1/2) The location advantage, policy incentives and infrastructure in the state support investments in sectors such as IT/ITeS, Banking and Financial Services Industry (BFSI), Small Scale Industries (SSIs) and tourism activities. According to the Delhi 2021 Master Plan, the state will be promoted as a hub of clean, high-technology and skilled economic activities. Initiatives would be taken for the modernisation of existing and inclusion of new industries such as those related to IT/ITeS. The plan emphasises industrial development without effluents, smoke and noise pollution. With the objective of promoting knowledge based industries and make Delhi a hub for clean, high-technology & skilled economic activities, the Industrial Policy for Delhi 2010-21 has being implemented in the state. Delhi State Industrial And Infrastructure Development Corporation Limited (DSIIDC) is set to establish a knowledge-based industrial park for IT services and other knowledge based services in an area of about 700 acres at Baprola, Najafgarh in the National Capital Territory of Delhi with a financial outlay of US$ 348.37 million. The project is expected to provide direct employment to 100 thousand people and indirect employment for more than 170 thousand people. A world class incubation centre for high tech & knowledge based industries is proposed to be set up in the knowledge park. Under the Annual Budget plan of 2015-16, the Government of Delhi proposed an outlay of US$ 3.32 million for The Delhi Institute of Tool Engineering that came into existence in 2007 and has been functioning from Wazirpur and Okhla Industrial Areas as an amalgamation of the Societies of Tool Room & Training Centre, Wazirpur and Hi-Tech Vocational Training Centre, Okhla. As per Annual Plan 2016-17, the state government allocated US$ 4.73 million for the development of various industries in the state. The government is encouraging activities allied to industries such as consultancy, information technology, training of skilled manpower through vocational training programmes and entrepreneurial development programmes. Source: www.delhiplanning.nic.in, delhi.gov.in 40

KEY INDUSTRIES (2/2) Currently, the services sector accounts for more than 82.30% of the state s income, while the industrial and agricultural sectors account for 15.48% and 2.21%, respectively. Service sector accounts for the maximum share of GSDP between 2011 to 2016. BFSI Key industries in Delhi Agri and processed food Construction and real estate IT and ITeS Tourism Logistics Sectoral composition of GSDP (per cent) 83.31% 82.79% 83.54% 83.29% 82.30% 13.20% 14.27% 13.77% 14.21% 15.48% 3.49% 2.94% 2.70% 2.51% 2.21% 2011-12 2012-13 2013-14 2014-15 2015-16 Service Industry Agriculture & Allied Source: Delhi Economic Survey 2014-15, Central Statistics Office; Directorate of Economics & Statistics, Government of Delhi 41

KEY INDUSTRIES BANKING & FINANCIAL SERVICES SECTOR (1/4) The city is home to a number of private and public banks and financial services institutions. These business houses deal in banking transactions, documentations, negotiations, loan agreements, etc. The city also has commercial banks, industrial banks and some of the leading foreign banks. Deposits and credit of scheduled commercial banks in Delhi by bank group (January-March 2016) Bank group No. of banking offices Deposits (US$ million) Credit (US$ million) Rural 102 9,444.5 8,068.62 Semi-urban 68 15,586.01 10,336.21 Total 171 25,030.51 18,404.83 The service points are spread across the city. Connaught Place, Chandni Chowk and Barakhamba Road are the major points in the city where the key offices of a large number of organisations are located At current prices, the contribution of banking and insurance sector to the GSDP of the state stood at US$ 11.91 billion in 2014-15 in comparison with US$ 10.82 billion in 2013-14. At constant prices, the contribution of banking and insurance sector in the GSDP of the state stood at US$ 9.68 billion in 2014-15 in comparison with US$ 9.22 billion in 2013-14. Banking and insurance contribution to GSDP at current prices (in US$ billion) 6.30 7.68 9.83 11.17 10.89 10.82 11.91 Source: Delhi Statistical Handbook 2008-09 2009-10 2010-11 2011-12 2012-13 2013-14 2014-15 Source: Directorate of Economics & Statistics, Government of Delhi 42