Slow pace of project awards may impact highway construction momentum

The sluggish pace of awarding highway projects in the 2023-24 is anticipated to impact construction momentum in 2024-25. Despite a target of 12,500 km for awards in 2023-24, only 2,595 km of highways have been contracted in the first seven months, compared to 5,007 km in the same period last year.
The shortfall in awards is expected to reflect in construction progress for 2024-25. The Ministry of Road Transport and Highways is reportedly exploring a more ambitious Bharatmala 2, a 20-year, Rs 20 trillion project involving 50,000 km of highways, including fenced-off expressways.