Finance

Infrastructure Finance

Infrastructure funding has come a long way in India. Thanks to the higher comfort levels, foreign investors no longer seek guarantees from the state and central governments in return for investments. Besides, India has the potential to absorb US$ 150 billion of investment in the next few years in the infrastructure sector alone.
Foreign investors are comfortable with the idea of investing in Indian infrastructure as the risk returns ratio is comparable with that of most other developing markets. As per industry  players report  the average internal rate of return (IRR) on infrastructure projects in India is about 15-20 per cent.

India needs US$320 billion in infrastructure – 11th Plan(2007-2012)

An investment of US$ 475 billion would be required in the infrastructure sector during the Eleventh Five Year Plan. These investments are to be achieved through a combination of public investment, public-private-partnerships (PPPs) and exclusive private investments, wherever feasible.

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Major investment required in the following infrastructure sectors :
Modernisation of highways    
Development of  civil aviation 
Development of Ports             
Development of Railways      
Development of Telecom       
Development of Power  
Development of urban ,rural&tourism