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OPINION: I have low expectations of these upcoming national elections

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Construction Professional Zuko Peter does not think the upcoming elections are likely to bring significant changes., but he believes it is crucial for the Construction and Built Environment (CBE) industry to voice its expectations because active participation in the elections is essential to address systemic issues. In my opinion, the upcoming national elections will not bring about significant changes compared to previous ones. Things are likely to remain the same or even worsen after the elections. Despite my low expectations, I believe it is crucial for the Construction and Built Environment (CBE) industry to voice its expectations. As industry professionals, we are being exploited by companies owned by politicians who prioritize self-enrichment. It is detrimental to our industry to be infiltrated by incompetent and unqualified individuals. The government must ensure that these individuals, at the very least, possess an educational background comparable to other sectors. Furthermor
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NEWS: India's infrastructure boom - roads and renewables surge.

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The infrastructure development landscape in India is poised for acceleration, with a projected 25% increase in road construction and a 33% rise in renewable energy projects over the next two years. This growth is being driven by companies capitalising on asset monetisation opportunities and reducing.their leverage ratios, according to the assessment of credit rating agency Crisil.


Crisil predicts that road construction projects are set to reach up to 13,000 kilometres annually, a notable increase from the current 10,000 kilometres. The driving force behind this expansion is the Hybrid Annuity Model (HAM), which was introduced in 2016. This model has mitigated completion risks..

Manish Gupta, Senior Director and Deputy Chief Ratings Officer at Crisil commented, "Investor engagement has been positive, with approximately Rs 750-800 billion being raised through equity and asset monetisation in both sectors over the past two fiscal years."

Gupta further stated, "Sustained emphasis on asset monetisation and equity mobilisation, coupled with robust cash flows, will maintain a balanced capital structure in both sectors."

Facilitating the ease of infrastructure development in India, companies are successfully attracting investors to invest in Infrastructure Investment Trusts (InvITs). These financial instruments are backed by the revenue generated from the underlying assets. The assets under the management of road-based InvITs nearly doubled, reaching Rs 1.3 Trillion between December 2022 and July 2023.

The source of this hardhatNEWS is Construction World India


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