Indian Economy News

NHAI surpasses target, constructs 5,313 km of national highways in FY26

  • IBEF
  • April 2, 2026

The National Highways Authority of India (NHAI) has surpassed its FY26 construction target by 15%, completing 5,313 km of national highways against its annual target of 4,640 km. The overachievement reflects execution capability in India’s roads and highways ecosystem, even though it is slightly less than the 5,614 km constructed in FY25. The performance was supported by robust capital deployment and faster project execution capability in expressways, economic corridors, and stretches of national highways. The momentum remains crucial for India’s logistics cost optimisation, connectivity enhancement, and infrastructure-driven economic growth, especially in the backdrop of multi-modal integrations like PM Gati Shakti and Bharatmala.

Capital expenditure by NHAI for FY26 was at Rs. 2.44 lakh crore (US$ 26.40 billion), which was 2.5% more than the budgetary support of Rs. 2.38 lakh crore (US$ 25.75 billion). The additional Rs. 5,978 crore (US$ 0.65 billion) was met from the resources of NHAI itself. The active construction pipeline of the authority currently stands at 27,597 km, which has a capital cost of Rs. 7.72 lakh crore (US$ 83.51 billion), out of which approximately 13,228 km is currently under construction. The high rate of construction and financing support is expected to improve freight mobility, which is expected to reduce transit time and improving the national logistics competitiveness in the nation in the coming years.

Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.

Partners
Loading...