The Indian government is considering establishing a ₹20,000 crore (≈US$2.4B) risk guarantee fund to catalyze private investment in infrastructure. The fund would underwrite project risks, enabling developers to access capital with greater confidence and reducing the deterrent effects of cost overruns or demand shortfalls.
This initiative is part of a broader push to revive private participation in infrastructure at a time when projects often stall due to project risk and funding gaps. If approved, the fund could unlock new momentum in sectors like roads, energy, logistics, and urban development.
