NHAI Raises ₹28,307 Cr for New Projects, Nears ₹30K Cr FY26 Goal

INDUSTRIAL-GOODSSERVICES

Overview

The National Highways Authority of India (NHAI) is nearing its ₹30,000-crore asset monetisation target for FY26, having already raised ₹28,307 crore. This achievement comes from Infrastructure Investment Trust (InvIT) and Toll-Operate-Transfer (TOT) deals, which help fund new infrastructure projects by selling operational assets. This strategy frees up capital for new construction and to pay down debt, with recent InvIT sales showing strong investor interest.

NHAI Nears ₹30,000 Crore Asset Sale Target

The National Highways Authority of India (NHAI) is on the verge of meeting its ambitious ₹30,000-crore asset monetisation goal for the fiscal year 2025-26. So far, ₹28,307 crore has been successfully raised through a combination of Infrastructure Investment Trusts (InvITs) and Toll-Operate-Transfer (TOT) transactions. This strategy is key to the government's plan to fund new infrastructure projects without straining public finances. By selling operational highway assets, NHAI unlocks upfront capital that is then used for new highway construction, expansion projects, and reducing debt.

InvIT Success Fuels Capital Raise

A large part of the funds came from InvIT Round-5. In this round, NHAI sold rights to over 310 km of highway stretches to NHIT Western Projects Private Limited for ₹6,366.98 crore. This deal grants the operator tolls for 20 years. The recent NHAI InvIT public offering showed strong investor confidence, being oversubscribed nearly 14 times. This secured five road assets in Tamil Nadu, Karnataka, Andhra Pradesh, and Jharkhand, valued at about ₹9,500 crore.

TOT Deals Also Boost Fundraising

The Toll-Operate-Transfer (TOT) model has also been key in NHAI raising funds. The authority recently awarded TOT Bundle-18 for ₹3,087 crore. This deal covers a 74.5-km stretch of NH-16 in Odisha, acquired by IRB Chandibhadra Tollway Private Limited. The private operator will manage and collect tolls for 20 years, giving NHAI immediate capital.

Disclaimer:This content is for informational purposes only and does not constitute financial or investment advice. Readers should consult a SEBI-registered advisor before making decisions. Investments are subject to market risks, and past performance does not guarantee future results. The publisher and authors are not liable for any losses. Accuracy and completeness are not guaranteed, and views expressed may not reflect the publication’s editorial stance.