Infra plan will boost investor confidence, but needs hand-holding: Experts

Private road developers in recent interactions with the Union ministry have expressed unwillingness to invest in Build, Operate and Transfer (BOT) projects which involve private capital

The proposed Rs 102-trillion infrastructure investment announcement by Union Finance Minister Nirmala Sitharaman would boost investor confidence, say sector experts and officials.  

The plan, however, will need initial hand-holding by the Centre, through higher spending, they add. The FM has said she expected Centre and states to have equal share of the proposed capital expenditure, at 39 per cent, followed by the private sector at 22 per cent.

“Identifying projects’ pipeline is a great initiative, to help focus on progress and provide visibility to investors. Sectors like irrigation and railways will likely continue to depend largely on government spending.   In the current