Gadkari says will seek nod from FinMin to set up Infra
Union Minister Nitin Gadkari on Monday said Finance Ministry's nod will be sought for setting up an Infrastructure Financial Corporation for lending to road projects awarded through the Hybrid Annuity Model (HAM) in view of cautiousness of national banks in funding them.
A committee will also be set up to resolve the matter and find a way out on how banks can be friendly for infrastructure projects particularly when the sector is moving fast, the Transport and Infrastructure Minister said during the Question Hour in the Upper House.
That apart, the government is trying to get funding from multi-lateral agencies like World Bank for these project, he said, adding that this would require permission from the finance ministry.
The government started awarding road projects as per the HAM after it failed to get response from the public-private partnership (PPP).
Till date, 123 HAM projects have been approved involving a cost of Rs 1.40 lakh crore, while banks have extended ...