In order to make more equity capital available for the road
sector, in August this year, the Government of India allowed equity
divestment up to 100% for all BOT projects irrespective of year of
award subject to the condition that such equity divestment shall be
only allowed after two years of construction completion and that
the equity so divested shall be invested by the promoter in other
incomplete NHAI projects.
The Government of India has also allowed an one time fund
infusion for road projects which are being implemented under the
Build Operate and Transfer (Toll) mode and which has already
achieved at least 50% physical completion. This infusion shall be
made by NHAI from the corpus earmarked by way of a loan carrying
interest at the prevailing bank rate + 2% subject to eligibility of
the concerned project. For securing the funds so infused the first
charge on the toll receivables of the project would be made in
favour of NHAI.
