India is creating a ₹20,000 crore fund to kickstart projects
India is planning a ₹20,000 crore fund to help get major infrastructure projects off the ground with fewer hiccups.
Managed by the National Credit Guarantee Trustee Company, this fund is designed to make it easier for lenders to take larger exposures to big projects by covering risks that usually slow things down—like policy changes or unexpected delays.
Fund will help solve common problems like land acquisition hold-ups
The fund aims to solve common problems like land acquisition hold-ups and environmental clearance issues.
Developers will need to pay risk premiums, making them more accountable for their work.
With India needing around $4.5 trillion in infrastructure investment by 2040, and the government has earmarked over ₹11 lakh crore for this year alone, this move could potentially help keep growth on track.
The government is still talking with banks and experts about how best to set up the details so the fund actually works for everyone involved.