Kamal Nath seeks easier ECB norms
Date : Oct-08-2009 10:03In order to fill the infrastructure shortage, the government needs $500 billion by 2012 while the road sector needs $70 billion and Road Transport Minister Kamal Nath is turning to the finance ministry and the Reserve Bank of India (RBI) for help.
However, not able to persuade foreign investors during his road shows abroad, he hopes for external commercial borrowing (ECB) norms to get more foreign money into the roads sector.
Moreover, currently the infra sector can use the ECB route to bring in up to $500 million for rupee expenditure. On the other hand, World Bank already announced a Rs 14,400 crore loan for the national highways and the minister hopes to raise at least Rs 48,000 crore from foreign investors.
Additionally, he plans to invite bids for 126 projects worth Rs one lakh crore in 2010 and is scouting for over $70 billion investment in the next 3 years.
No comments:
Post a Comment