NIIF targets $1 trillion investment in infrastructure

The National Investment and Infrastructure Fund (NIIF) recently estimated that the country needs an investment of up to $1 trillion in the infrastructure sector in the next two to three years, chief executive Sujoy Bose said, elaborating that resources are required both in tangible infrastructure assets as well as de-leveraging by companies saddled with high debt. As a matter of fact, there was "hubris" in the years between fiscal year 2004-05 to 2011-12, which witnessed poor underwriting that hurt banks later through bad assets on books and companies getting leveraged a lot higher. He exhorted the private sector to do more, saying that the government is leading the investments at present. The role of the government should be restricted to creating opportunities for the private sector to invest in so that the PPP story can move ahead. Currently, there are 1,300 PPP projects in various stages of development and that the NIIF, which has raised 15-year money is mulling to go for a 25-year money, given the long term gestation period of the infra projects.