The Economy Can Be Back On High Growth Track In Three Months With Proper Administrative Measures

The infrastructure sector in India is slowing down. BE’s Kishore Kumar Biswas and Tushar K. Mahanti spoke to Hemant Kanoria, Chairman, Srei Infrastructure Finance Limited, regarding the PPP model in infrastructure and the role of NBFCs.

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Q. Infrastructure growth has slowed down in recent months. How do you read the situation?

A. Infrastructure sector has slowed down because several projects undertaken by the government are still to be implemented. Furthermore, Public-Private Partnership (PPP) projects in infrastructure sector have witnessed many challenges and therefore the appetite of private sector for infrastructure projects is almost negligible. At present, the only panacea could be the government substantially increasing their investment in infrastructure projects.

Q. Finance Minister Nirmala Sitharaman announced certain new policies, recently. Do you think these will ease the stress of the economy?

A. The Finance Minister last week has announced many positive steps towards easing the stress in the economy. We are confident that once the steps are implemented it will result in easing of stress in the economy.

Q. There is a common view that the problems of power and NBFCs must be addressed immediately to get the economy out of stress. You are a major player in these two sectors. Why are these sectors stressed?