Managing stressed assets key for attracting Infra capital

It is no secret that infrastructure demand in India is massive. By several global estimates, India’s urban population is likely to grow from 350mn to 550 million by 2030; an unprecedented rate of urbanization. This puts severe stress on existing infrastructure and creates an urgent need for new projects. India’s infrastructure development has not seen a lot of private capital – whether domestic or foreign. If India has to maintain its high growth rates and support its fast urbanizing population’s basic infrastructure needs, it needs to find innovative ways of financing the infrastructure development.

GRI Club Infra organised a select group of 15 senior investors, representing developers and infrastructure funds, to deliberate on potential solutions.

This paper attempts to closely review stressed assets situation in the roads and highways sector, with a view to provide practical solutions to resolve impasse, allowing investors and developers to close transactions quickly. We feel that expeditious closure of such transactions will not only facilitate investment by long term foreign investors, it will also permit release of stuck capital, both debt and equity, permitting financing of greenfield projects by developers and banks.

Download the white paper below.