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Commercial Vehicle - - WHAT'S INSIDE -

Around 20-28 kms of roads are claimed to be built per day in In­dia. This may be al­most 60-70 per cent less than what a tele­vi­sion ad­ver­tise­ment, many of those that high­lighted Modi Gov­ern­ment’s achieve­ments claimed, at 100 km per day. To boost road in­fra­struc­ture, pri­vate in­vest­ments are ex­pected to fund as much as 55 per cent against the gov­ern­ment tar­get of build­ing 2500 km of roads in the FY2016-17. These would be in the form of BOT and EPC. The re­quire­ment, claim in­dus­try sources, would be in the re­gion of Rs.2.4 tril­lion. A vast ma­jor­ity of it is ex­pected to be se­cured through bank loans. Some three-quar­ters from brank cred­its, the to­tal bank credit for projects in FY2016-17 amount­ing to an es­ti­mated Rs.1.8 tril­lion. Claim in­dus­try sources, that the to­tal bank credit re­quired to fi­nance 25,000 km of roads in FY201617 would amount to the same as the to­tal out­stand­ing bank credit to the road sec­tor it­self.

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