India is preparing to monetise 28 national highway assets covering over 1,800 kilometres in FY27, aiming to raise approximately ₹35,000 crore through strategic asset recycling mechanisms.
The National Highways Authority of India has identified highway stretches primarily in Haryana and Uttar Pradesh for monetisation through Infrastructure Investment Trusts (InvITs) and Toll-Operate-Transfer (TOT) models. Under the TOT framework, private entities acquire rights to collect tolls, undertake operations and maintenance for a concession period of 15-20 years before transferring assets back to NHAI, in exchange for upfront premium payments.
Revenue Deployment Strategy
The government has stated that immediate capital inflows generated from asset monetisation will be channeled toward constructing new highways and infrastructure projects across the country. This initiative follows ₹29,000 crore in receipts from highway monetisation during FY26.
National Monetisation Pipeline
Under the National Monetisation Pipeline 2.0, the highway sector is projected to generate over ₹4.4 lakh crore between FY26 and FY30. The NHAI has already realized ₹28,307 crore in FY26 through combinations of Public InvIT, Private InvIT, and TOT models, surpassing the budgeted target of ₹30,000 crore.
The TOT model, introduced in 2016, has cumulatively awarded bundles worth over ₹50,000 crore as of January 2026, leveraging established revenue streams from operational toll roads to fund greenfield projects.
