Highways construction bucks Modi 1.0 trend; activities in the sector slow down in current financial year

Bucking the trend of a steady increase in the pace of highway construction since the Modi 1.0 government assumed office, activities in the sector seem to have slowed in the current financial year. With award of new projects being in the slow lane since FY19 (see chart), investments in this key infrastructure sector could take a further hit if efforts to encourage private investments and newer ways of resource mobilisation explored by NHAI don’t yield intended results.