NHAI Plans Rs.150-200 Bn Asset Monetization


The National Highways Authority of India (NHAI) has outlined ambitious plans to monetize assets worth ?150 to ?200 billion through Infrastructure Investment Trusts (INVITs) in the fiscal year 2024-25. This initiative is part of NHAI's strategy to unlock the value of its existing infrastructure assets and raise funds for future projects.

The monetization efforts will focus on operational toll roads and other completed highway projects owned by NHAI. By leveraging INVITs, NHAI aims to attract long-term institutional investors interested in infrastructure assets, thereby ensuring sustainable funding for its expansion and maintenance initiatives.

NHAI's decision to monetize assets comes amid increasing infrastructure funding requirements and the need to accelerate the development of new highway projects across India. The funds raised through INVITs will be crucial in addressing these demands while also enhancing the efficiency and quality of existing road networks.

The move is expected to bolster NHAI's financial capabilities and support its mission to modernise and expand India's highway infrastructure. It reflects a proactive approach to financing infrastructure development through innovative financial instruments that attract private investment into the public sector.

In summary, NHAI's ambitious plan to raise ?150-200 Bn through asset monetization via INVITs underscores its commitment to leveraging private sector participation for infrastructure development. This strategy not only aims to meet funding requirements but also promises to enhance operational efficiency and sustainability in India's highway network.

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