credit availability and consequent difficulty in achieving financial closure.
“Raising equity through initial public offers or follow-on offers seems unlikely due to poor market conditions. Banks are reluctant to lend either,” Murali said. “Lenders who used to readily finance road projects have woken up to the non-availability of adequate equity and heightened risk perception in the road sector. Highway finance comes only with pre-conditions like 100% right of way and environmental, forest and wildlife clearances in place,” he added.