NHAI kickstarts process to form InvIT to tap investment in highways sector

NHAI constitutes a panel to select an Investment Manager to initiate the InvIT process

The National Highways Authority of India (NHAI) has initiated the process of setting up an infrastructure investment trust (InvIT) to scout for funding in the highways sector. As part of the structure, it will set up a company to act as an investment manager to the proposed InvIT.

This will be a collective investment scheme, through which individuals and institutional investors may invest in infrastructure projects directly. A panel has been formed to select the investment manager, the NHAI informed on Thursday.

In such a model, assets are placed in an InvIT where investors put in money. Income generated from such assets