Boosting Private Investment: New Rs 20,000 Crore Infrastructure Risk Guarantee Fund

A significant move is underway as the Indian government weighs a proposal to establish a Rs 20,000 crore risk guarantee fund aimed at invigorating private sector investment in infrastructure projects.

This fund, expected to be managed by the National Credit Guarantee Trustee Company Limited, is envisioned to distribute project risks, making it easier for private developers to commit to large undertakings without bearing the full brunt of potential setbacks.

Such an initiative is vital, experts say, in meeting India's ambitious infrastructure goals, particularly under the 'Make in India' campaign, which suffers from infrastructural inadequacies that threaten the nation's economic growth trajectory.