True, but providing clean water to more than a billion people is not cheap and not easy for sure. India's defense budget is significantly less than China's and only a fraction of USA's defense budget. National security is as important as the basic needs of the citizens.
The root cause of the India's problem is the administrative system which is only about 60 year old. Our system has been evolving and the governments pro-technology attitude is driving the growth of India. We have a lot to learn from the developed nations, but certainly we are a lot better than some of the developed nations in areas such as health care & education (secondary education).