NHAI has earmarked 1,360 km of highways for monetisation through Infrastructure Investment Trusts (InvITs) in FY27, accounting for around 80% of its 1,692-km pipeline.
Out of a total pool of 17 operational highway stretches spanning 1,692 km earmarked for monetisation through ToT and InvIT structures this financial year, NHAI has now decided to route 1,360 km through the InvIT platform. The policy preference was initially signaled by the Ministry of Road Transport and Highways (MoRTH) in February 2025, but the operational pivot has now materialized on the ground.
Meanwhile, execution via the ToT model continues on a secondary track. In July, NHAI completed its first ToT transaction of the current financial year, monetising 184.5 km of highways in Tamil Nadu under ToT Bundle 19 for Rs 2,259 crore. Bidding processes remain open for Bundles 20, 21, and 22 as NHAI progresses toward its annual asset monetisation target of Rs 30,000 crore.
Proceeds from the monetisation of highways through InvITs are used exclusively for debt repayment. This year, NHAI also plans to aggressively reduce its outstanding debt which now stands at below Rs 2 lakh crore, down from a high of Rs 3.42 lakh crore at the end of 2022-23.
The newly launched public InvIT, Raajmarg Infra Investment Trust (RIIT) has been offered 10 stretches of 910 km length by the NHAI as part of this financial year’s monetisation plan. The RIIT made its debut last year when it acquired 260km of roads for Rs 9500 crore.
The rest has been offered to National Highway Infra Trust (NHIT). NHIT in its sixth round of acquisition of highway assets has been offered 450km of roads. Last year the NHIT acquired 11 km highways after paying Rs 6550 crore.
Though NHAI is a sponsor of NHIT, it has brought down its share of the number of units held to 10%. In RIIT its share of total number of units is 15%. As RIIT is a public InvIT its units are open to subscription from retail investors while NHIT’s unit holders are Indian and overseas investment funds.
The NHAI has prepared its asset monetisation strategy document for the next three years to meet the Rs 4.42 lakh crore monetisation targets for the roads sector in the next five years.
