Infrastructure Accessibility Increases Productivity and Economic Growth

Abstract

Infrastructure development is a fundamental factor in promoting sustainable economic growth. Adequate infrastructure, including transportation, energy, and communication networks, not only facilitates the mobility of goods and services but also reduces logistics costs, enhances productivity, and expands market reach. In developing countries, infrastructure functions as a catalyst for economic growth by generating employment opportunities, attracting investment, and improving competitiveness in global markets. Nevertheless, in the persistent gap between urban and rural areas remains a major challenge, as development efforts often concentrate on economic centers. This imbalance risks widening regional economic disparities and hindering equitable development. Furthermore, sustainability issues, particularly in terms of financing, long-term maintenance, and environmental impact, represent critical aspects that must be addressed. This study adopts a literature review approach to analyze the relationship between infrastructure and economic growth while simultaneously identifying sustainability challenges, ensuring that infrastructure development can provide long-term benefits for society and the overall economy.