As part of innovative modes of financing to meet India’s huge infrastructure appetite, insurance giant LIC has agreed to offer Rs 1.25 trillion line of credit by 2024, to fund highway projects, Union Minister Nitin Gadkari said.

Keen on timely execution of the Rs 8.41 trillion ambitious Bharatmala project that aims to lay a grid of highways pan-India, the Road Transport and Highways Ministry has been looking to harness various sources of finances including pension and insurance funds.

Gadkari said the Bharatmala programme will be funded through cess, toll revenue, market borrowings, private sector participation, insurance fund, pension funds, masala bonds and other initiatives and the LIC credit line was one such initiative.

Also, the budget allocation for Road Transport and Highways ministry has increased by about Rs 5,000 crore, he said.

SOURCE – DDNEWS

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