It is estimated that India will need USD1.5 trillion investments in infrastructure in the next decade to have sustainable development. Government initiatives like smar cities and home for all direct the growth momentum of the sector. Government has also permitted 100 FDI in this sector.The infrastructure for roads and bridges is expanding at the rate of 13.6 CAGR while the growth rate of construction of National Highways in India is recently measured at 20%. The National Investment and Infrastructure Fund, in order to raise investments worth USD3billion, have join hands with UAE-based DP World. The investments shall be used for development of ports, terminals, transportation and logistics business.
India’s status of being the fastest growing economy in the world kicks in a huge expansion in its infrastructure status. With urbanization at its peak, the villages are gradually transforming into self-reliant economic hubs and the need for affordable housing is being deeply felt and acted upon. The expansion is also occurring at a macro-level through development of roads, bridges, highways, airports, and railways. Delhi Mumbai Industrial Corridor, the largest infrastructure project in the world and Dedicated Freight Corridor has made way for a huge scope in the sector and are the key drivers to its valuation growth. Access to improvised technology, an influx of FDI’s in the sector, cheap labour, political push, favourable government policies and heightening entrepreneurial capabilities is also causing a tremendous progress in the infrastructure industry of India.
However the very nature of the sector being volatile and dependent of many external factors brings in many risks. The property valuations need to be preserved against fluctuating market demands and unforeseen events. Right from conceptualization of an infrastructure project, it faces risks with respect to design and architectural flaws, construction mishaps, risk of inadequate financing, operational risks , risks of changes in laws and policies and few more. For a project to be viable and bankable, these risks should be covered though a well-thought insurance strategy and planning.
Every stakeholder involved in infrastructure business: developers, contractors, dealers, banks, etc., has a different risk profile which can only be understood and assessed by experienced market experts. The leaders in chalking out suitable risk mitigation strategies for infrastructure business through smart insurance policies, Epoch Brokers helps you conduct your business in the most stress free manner possible. We help you deal with market volatility and deploy your capital most effectively to bring you growth and unsurpassed success.
The Marine insurance provides protection against loss or damage of cargo or property while it is in transit, acquired, or held at any point between origin to the...
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