Private sector investment in India’s highway infrastructure could approach ₹1 lakh crore in FY27 as the government signals a revival of the Build-Operate-Transfer (BOT) model, industry experts and officials said.
The return of the BOT model is expected to attract long-term private capital for road projects, particularly for national highways, expressways, and critical arterial routes. Analysts said the move could accelerate project execution, reduce government expenditure, and improve overall road connectivity across the country.
Infrastructure companies noted that private investors are showing renewed interest due to improved project viability, risk-sharing mechanisms, and clear concession agreements under the BOT framework. The focus is likely to be on high-traffic corridors and strategically important stretches connecting industrial hubs and ports.
Government sources highlighted that enhanced monitoring, quicker approvals, and support for financial closure will make BOT projects more attractive to private players. Early indications suggest a significant portion of the projected ₹1 lakh crore investment may come from a combination of domestic and foreign institutional investors.
Experts believe that this renewed private participation could not only bolster highway infrastructure but also support employment generation, reduce logistics costs, and strengthen India’s position in global supply chains.