The Ministry of Road Transport and Highways of India (MoRTH) has planned to invest a whopping sum worth ₹7 trillion on infrastructure projects in the next 2-3 years. The investment opportunities are across multiple asset classes such as highways, multimodal logistics parks, wayside amenities, ropeways and warehousing zones among others, Union Minister Nitin Gadkari, said in a statement.
Of the total investment planned in infrastructure, the 34,800 km highways have the highest capital cost of ₹10 trillion followed by ₹50,000 crore investments planned towards 35 multimodal logistics parks spread across the country. In the highways segment, about ₹6 trillion would be invested by FY24. In a bid to seek large investor participation not restricted to foreign or domestic investors, he said that investment opportunity could be extended to the retail segment where interests offered could be 2-3 percent higher than banks’ offerings with monthly payouts to make it lucrative.
He also pointed out that the planned infrastructure projects along with multimodal logistics parks would ensure a cut in logistics cost from 14 per cent to about 9 per cent, in line with what China is currently offering between 8-10 per cent. Alongside, he also suggested that this planned national project should also be integrated with water transportation for a more effective drop in logistics cost. While Chairperson, NHAI, Alka Upadhyaya informed that NHAI is developing multiple facilities and allied infrastructure, in line with the PM’s vision for promotion of integrated infrastructure under Gati Shakti National Plan.