National highway projects by government dips 37% in Q1

Awarding of contracts to build national highway (NH) projects dipped by 37% to 611 km in the first quarter of the current financial year mainly due to issues related to land acquisition even though the pace of construction has picked up, data compiled by rating agency CRISIL showed.

Only 611 km of national highway projects were awarded in April-June 2023 period as against 969 km in the corresponding period last year.

A sharp drop in the first quarter is likely to substantially bring down the whole year figure. During the financial year ended March 2023, the Ministry of Road Transport and Highways (MoRTH) awarded contracts to build 12,376 km of national highways. This number is expected to come down to 10,000-12,000 km in the current fiscal.