NHAI gets Rs 30,000-crore loan offer from global pension fund

Finalises road assets worth Rs 1 lakh cr for monetization

The National Highways Authority of India (NHAI), which proposes to award road works worth Rs 1 lakh crore by the end of the current financial year, has received an offer from a global pension fund to provide Rs 30,000 crore rupee loan at 5.5-6 interest rate, Union roads minister Nitin Gadkari said here on Tuesday. He, however, refused to divulge further details.

Speaking at a conference on infrastructure here, he also said the Employees’ Provident Fund Organisation has decided to provide Rs 10,000 crore to NHAI.

NHAI, which has AAA rating, will also issue green masala (rupee) bonds. It is currently in talks with the Life Insurance Corporation of India for long-term finance.

“The ministry has received approval for Rs 70,000 crore tax-exempted bonds. Money is not an issue as financiers are queuing up to give money not only for roads and highways but also for ports and shipping, which come under my jurisdiction,” Gadkari added.

Gadkari said his ministry has already firmed up monetisation of road assets worth Rs 1 lakh crore. “If we securitise toll income of Rs 10,000 crore, NHAI can mobilise Rs 2.5-3 lakh crore in due course of time,” he said.

The minister said projects worth Rs 25 lakh crore are being awarded in the roads, highways, ports, shipping and waterways sectors.

“Of the Rs 25-lakh crore, Rs 12 lakh crore is aimed at the implementation of the flagship Sagarmala project, which comprises road connectivity, rail connectivity and modernisation and mechanisation of existing ports. These projects will help expedite growth and create jobs without posing a threat to the environment.”