Revolving fund worth Rs 100 cr for infra projects
The government has notified setting up of a Rs 100-crore revolving fund that is aimed at assisting infrastructure projects, under public-private partnership (PPP) model, in the pre-tender period.
By PTI |
NEW DELHI: The government has notified setting up of a Rs 100-crore revolving fund that is aimed at assisting infrastructure projects, under public-private partnership (PPP) model, in the pre-tender period.
Announced in the Budget 2007-08, the India Infrastructure Project Development Fund (IIPDF) would bear the expenses for conceiving new PPP projects, which may include feasibility studies, environment impact studies, financial structuring, legal review in the pre-tender period.
The fund would bear up to 75 per cent of the costs of projects till the bidding stage, official sources told media.
Besides, the fund would also assist projects that closely support the best practices in PPP project identification and preparation.
Infrastructure projects, which qualify for the funding, could be revenue generating commercial projects, efficiency enhancement or cost-saving projects and non-revenue generating projects with hidden economic returns.
The fund with an initial corpus of Rs 100 crore can be scaled up through budgetary support, if need be. Envisaged as a revolving corpus, the fund would get replenished by fee earned from successfully bid projects.
According to estimates, India requires nearly 488 billion dollars to build infrastructure like roads, power, ports to sustain high economic growth rate during the 11th Five Year Plan period.
Announced in the Budget 2007-08, the India Infrastructure Project Development Fund (IIPDF) would bear the expenses for conceiving new PPP projects, which may include feasibility studies, environment impact studies, financial structuring, legal review in the pre-tender period.
The fund would bear up to 75 per cent of the costs of projects till the bidding stage, official sources told media.
Besides, the fund would also assist projects that closely support the best practices in PPP project identification and preparation.
Infrastructure projects, which qualify for the funding, could be revenue generating commercial projects, efficiency enhancement or cost-saving projects and non-revenue generating projects with hidden economic returns.
The fund with an initial corpus of Rs 100 crore can be scaled up through budgetary support, if need be. Envisaged as a revolving corpus, the fund would get replenished by fee earned from successfully bid projects.
ADVERTISEMENT
According to estimates, India requires nearly 488 billion dollars to build infrastructure like roads, power, ports to sustain high economic growth rate during the 11th Five Year Plan period.
Download
The Economic Times Business News App for the Latest News in Business, Sensex, Stock Market Updates & More.
The Economic Times Business News App for the Latest News in Business, Sensex, Stock Market Updates & More.
Download
The Economic Times News App for Quarterly Results, Latest News in ITR, Business, Share Market, Live Sensex News & More.
The Economic Times News App for Quarterly Results, Latest News in ITR, Business, Share Market, Live Sensex News & More.
ADVERTISEMENT
