Budget 2016: FM ArunJaitley announces Rs 5,000-crore booster shot for roads sector
Finance Minister Arun Jaitley has given a huge thrust to roads sector in high budget for the next financial year. Jaitley has allocated Rs 55000 crore to the sector, up by Rs 10,000 crore from the current budget.
The government will award nearly 10,000 kms of National Highways in 2016-17.
Jaitley has also allowed National Highways Authority of India to raise Rs 15000 crore through tax free bonds.
“Total investment in the road sector, including PMGSY (rural road connectivity programme) allocation, would be Rs 97,000 crore during 2016-17,” Jaitley said in his budget speech.
India’s highest ever kilometres of new highways were awarded in 2015.
Jaitley also said amendments would be made in Motor vehicle act to get more participation form private sector. He said focus would be to end permit raj to make the sector more transparent.
The government will also issue guidelines for renegotiation of PPP Concession Agreements will be issued. New credit rating system for infrastructure projects to be introduced.
