Rakesh Mohan heads high-level committee on infrastructure financing

Rakesh Mohan, former deputy governor of the Reserve Bank of India and a former secretary of the department of economic affairs, will head the committee on financing of infrastructure. He will have the status of a minister of state in an honorary capacity.

Among other responsibilities, the committee will assess the investment required to be made by the central and state governments, public sector undertakings (PSUs) and the private sector in the 10 major physical infrastructure sectors during the 12the Plan.

It will identify areas and activities to be financed by the government, public sector undertakings and the private sector respectively, according to an official statement released on Friday.

The committee will suggest ways to enable the requisite flows of private investment in infrastructure, including the creation of a supportive investor-friendly environment.

Besides, it would make recommendations on the role government could play in developing the capital markets for intermediating long term savings for investments in infrastructure projects, including the fostering of appropriate institutional arrangements.

The committee will examine the role of international capital flows in infrastructure financing and development, assess the nature of projects likely to receive such capital and consider how such financing can be obtained, in a sustainable manner.