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Hybrid annuity picks up but road ahead not clear

Interest by private players picked up after the government approved the hybrid annuity model for road construction

Megha Manchanda  |  New Delhi 

Around 21 highways projects worth around Rs 15,000 crore have been bid out under the hybrid annuity model approved by the government in January this year, but analysts say a turnaround in the sector can only be expected after the financial closure of these projects.

Interest by private players picked up after the government approved the hybrid annuity model for road construction, under which 40 per cent of the project cost is borne by the government and the rest is made by the project developer. Private players were interested because the risk element was shared, Biswanath Bhattacharya, ...

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First Published: Fri, June 24 2016. 00:44 IST
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