With a number of highway projects waiting to be passed and constructed, the National Highways Authority of India is planning to rope in various foreign pensions and several other equity investors to invest in their upcoming planned highway projects. A senior official from NHAI claimed that they are planning on doing this to reduce the burden of the overall expenditure. The projects that are levying on the equity partnership are expected to generate a whopping budget amounting to Rs. 46,000 crore.
The dire need of equity partners for funding primarily rose because of the over-subscription of the maiden bundle of the nine highway projects that were passed under the toll operate transfer (TOT) model which is expected to churn profits amounting to Rs. 10,500 crore. A representative of National Highways Authority of India exclaimed that they are seeking investors like that of National Investment and Infrastructure fund (NIIF). He further stated that the primary reason for equity is mainlycontinue reading →