Salvaging Highway Projects

The Cabinet Committee on Economic Affairs, chaired by the Prime Minister of India, has, for the purpose of providing a renewed thrust and impetus to the roads and highways sector and for the purpose of attracting the private sector, approved two major policy initiatives. These policy initiatives are aimed at improving the equity availability in the market and for authorizing the National Highways Authority of India for intervening in projects affected by fund shortages.

Exit policy:

The Cabinet Committee on Economic Affairs has approved a policy framework envisaged to permit concessionaires/ developers to divest up to 100% equity, two years post completion of the construction of the project.