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To unlock the value of operational National Highway assets and increase Public-Private Partnership in India’s infrastructure development, the National Highways Authority of India (NHAI), on Monday released its first-ever ‘Asset Monetization Strategy for the Road Sector’.
Representative Image (IANS)
To unlock the value of operational National Highway assets and increase Public-Private Partnership in India’s infrastructure development, the National Highways Authority of India (NHAI), on Monday released its first-ever ‘Asset Monetization Strategy for the Road Sector’.
The strategy presents a structured framework that provides a robust blueprint for mobilising capital through Toll-Operate-Transfer (ToT), Infrastructure Investment Trusts (InvITs), and securitisation models. These instruments have helped NHAI raise over Rs 1.4 lakh crore across more than 6,100 km of National Highways under the National Monetisation Pipeline.
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The strategy is anchored on three core pillars: value Maximisation of Government Road Assets, Transparency of Processes, and Dissemination of investor-relevant information, and market development through deepening the investor base and promoting stakeholder engagement.
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Commenting on the release of the strategy document, NHAI Chairman Santosh Kumar Yadav said, “The unique approach that NHAI has adopted towards asset monetisation not only ensures financial sustainability but also opens opportunities for the private sector, leverages advanced technologies, enhances quality and longevity of our road assets. The successful implementation of this strategy will provide NHAI with a steady stream of financing, reducing our reliance on traditional funding sources”.
Sharing his thoughts on the occasion, Mr N R V V M K Rajendra Kumar, Member (Finance), the NHAI said, “This document outlines a strategic framework to maximise the benefits of asset monetisation. It emphasises the need for a structured approach to identify and value assets, ensuring transparency and fostering investor confidence.”
The NHAI Asset Monetisation strategy aligns with the Government of India’s objective under the Assets Monetisation Plan – 2025-30 and represents a pivotal shift towards sustainable, market-driven infrastructure financing.
As one of the early movers towards alternative financing mechanisms, the NHAI has been successfully leveraging various monetisation instruments. The success of asset monetisation by NHAI is critical in unlocking the value of the road network and has contributed to the development of the National Highway framework in the country.
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