Indian infrastructure is drawing foreign investors, Union Minister Nitin Gadkari, reportedly believes. As per reports, several major foreign investors including DBS have lined up to buy and operate government-owned national highway projects for 30 years. It is known that DBS plans to invest almost $7 billion in buying into existing highway projects under the ‘toll operate transfer’ policy.
In fact, reports indicate that almost 100 government-owned highway projects will be leased out next month. The investors, along with a local partner, will collect tolls and operate projects for 30 years in lieu of an upfront payment to the government. Also, companies such as GIC of Singapore and Temasek have reportedly evinced interest in subscribing to masala bonds worth Rs 5,000 crore from NHAI.
Gadkari’s ministry is also known to be in talks with companies such as Transworld and Ascendas about the development of world-class logistics hubs in India.