ILFS-Private Infrastructure Finance

closed

The objectives of the Private Infrastructure Finance Project are to: 1) develop prototype contractual arrangements for private investment in the Infrastructure Leasing and Financial Services Limited's (IL&FS) areas of involvement, thereby facilitating entry of the private sector on a much larger scale in areas heretore dominated by the public sector; 2) build up India's capacity to attract private investment in infrastructure, pilot-test institutional and contractual arrangements in a variety of subprojects under various administrative and political conditions, and help establish a track record as a prerequisite for large scale private investment in the sector; 3) meet the pressing needs of commercial infrastructure project entities for long-term rupee financing; 4) foster efficiency in the delivery and use of selected infrastructure services; 5) encourage the establishment of more efficient practices in the construction and operation of infrastructure project; and 6) assist in alleviating the severe financial and institutional constraints to the expansion of infrastructure in India. The project consists of three interrelated components: 1) an investment component in the form of a line of credit to IL&FS; 2) a subproject preparation component, which will cover specialized consultancy services; and 3) a training and technical assistance component, which will include: (a) IL&FS's staff development for its staff; and (b) specific studies that IL&FS is undertaking to facilitate the evaluation and implementation of commercial infrastructure projects.