NHAI to borrow Rs 250 billion from banks, MoRTH to raise funds to meet revised targets

September 4, 2018

NHAI is expected to borrow at least Rs 250 billion as a loan from public sector banks including the State Bank of India (SBI). The authority recently received a loan of Rs 250 billion from SBI at a 7.99 per cent rate of interest for 10 years with a moratorium of three years for repayment of the principal. Besides, the MoRTH is seeking to raise Rs 200 billion in the current financial year by leasing out highways. It will hold roadshows in Toronto and New York in September 2018 to invite investments in Indian highways under the TOT model. In the current fiscal year, the ministry is working towards constructing at least 11,000 km, which will require funds to the tune of Rs 1.5 trillion. While Rs 700 billion will be made available through the Ministry of Finance, the rest will be raised through borrowings.