The Centre is coming up with a new model for small investors to invest in road infrastructure projects in the country.
Union Road Transport and Highway Minister Nitin Gadkari on Tuesday said that the investment model is for small investors, low and middle income group people and capital markets will be approached probably next month to raise money for the projects.
“We are formulating a new model for small investors to invest in Infrastructure projects. We will soon list Invits in the stock market so that retail investors can invest… We are offering an opportunity to common people including poor and middle class people to invest in infrastructure projects assuring 7 to 8 per cent monthly returns,” said the Minister.
Gadkari said that there will be an investment limit of Rs 10 lakh for retail investors, there will be an assured return of 7-8% on the investment.
Initially, the investment opportunity will be for four road projects.
The Minister also talked about the declining rate of bank interest on deposits.
“This is important as banks have reduced interest on deposits and it is a problem for retired people,” he said, adding that poor and middle class people will benefit from this model.
Gadkari talked about expanding the network of national highways in the country and said that this is time for the country to expand the network of national highways and before the end of 2024 it will be taken to 2 lakh km.
The Minister said that 90 per cent of the passenger traffic is on roads in the country.
He also talked about various models of road projects construction including built operate transfer, hybrid annuity model, engineering procurement and construction and toll operate transfer models.
(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)