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By Taponeel Mukherjee
The current discourse on infrastructure focuses on the amount of funding needed for its creation. While the talk about the need for funding is essential, to indeed create more funding for infrastructure, the infrastructure ecosystem itself needs to start focusing more on “revenues”.
“Revenues” here mean the returns the infrastructure assets will generate to compensate the investors for the risk undertaken. Essentially, revenue generating mechanisms and greater clarity amongst investors on the revenue generating mechanisms that will create the cashflows to deliver investment returns are the keys to unlocking funding. In finance parlance, the discussion needs to focus both on the quality and the quantity of the cash flows from the infrastructure assets.
To move towards greater clarity on revenue generation, a clear catalogue needs to be created where all infrastructure assets required are broadly classified under three categories.
The first comprises assets that have a revenue-generating capacity to adequately compensate investors for the risk, e.g., a high-quality airport. Second, assets that have the revenue generating capacity, but need subsidies to provide an adequate return to the investors for the risks involved, e.g., a Metro railway project. The third are assets that have economic benefits but do not themselves generate revenues at all, e.g., a non-toll road asset.
For assets that generate revenues, the emphasis must be on clear contract design that elucidates the revenue waterfall for the asset and on the predictability of the cash flows. It is important to realise that the investors who are looking to invest in Indian infrastructure are mostly managing global portfolios across asset classes. Therefore, Indian assets need to compete with other asset classes from both India and abroad to attract capital. The greater the clarity around revenues and the associated risks, the easier will it be to draw a more substantial quantum of money for infrastructure, and that too at lower costs.
Infrastructure financing through improving “revenue visibility” and “revenue predictability” leads to a virtuous circle whereby greater clarity around revenues leads to both greater quantity and lower cost funding, which in turn helps more viable projects to take off. The “asset monetisation” scheme that has been in talks in recent times will get a significant boost if the focus on “revenues” is built up further.
For assets that require part or full subsidies, the government will need to get greater clarity on what component of the budget will finance the much-needed infrastructure. Across infrastructure sectors such as water, power evacuation and highways, clear demarcation of fund allocation, usage and results will be crucial in delivering the much-needed assets.
It is also important to note that there is significant dispersion in the revenue generating capacity of assets within the same asset class. For instance, certain commercially busy stretches of roadways may lead to lucrative toll-road contracts whereas roads elsewhere might have significant economic benefits such as border roads but might need subsidies from the government for their financial viability.
The ability to implement flexible policies that consider the variability of financial returns from various assets within an asset class will help improve “revenue” generating capacity for infrastructure overall. For instance, given the variability in the wind energy capacity of various sites, India’s wind energy policy needs to account for the fact that highly competitive auctions that may work on the best wind sites may not be conducive to rapid infrastructure creation once the best sites are exhausted.
Additionally, besides the revenue sources, ensuring investors that contracts will be enforced without demur or recourse is essential. In a world with increasing macroeconomic volatility, pricing of revenue streams from infrastructure assets will vary as the various determinants such as the cost of funding, initial capital expenditures and foreign exchange rates vary. Therefore, the better the contract enforcement mechanism, the higher the risk-adjusted revenues from infrastructure projects, thereby greater the investor interest in Indian infrastructure.
Therefore, though much has been written and said about the opportunity and the challenges that Indian infrastructure involves, the next step should be a renewed focus on “revenues” that assets can generate. We must ensure that measures are taken to improve “revenue” visibility, and to provide alternative financing solutions when asset revenues are not sufficient. (IANS)
By Monika Manchanda
Eating fruits is one of the most satisfying ways to tackle sweet-tooth cravings while meeting your nutritional needs. Despite many studies and research on fruit consumption in diabetes, there are a lot of speculations on the right kind of fruit consumption and its relation to blood sugar levels.
Eating seasonal and locally available fruit has many health benefits ranging from reducing sugar and inflammation levels to fighting high blood pressure -- thanks to their abundant vitamins and mineral presence! They are a powerhouse of antioxidants like vitamins A, B, C, E, and minerals like iron, calcium, magnesium, and fiber.
The fruits listed below are not just diabetic-friendly but are loaded with fiber and water content which can slow down the sugar spikes and sugar absorption rate. Apples are not just nutritious and filling; According to a study, they are significantly associated with a lower risk of type 2 diabetes if consumed in moderation. Turns out there is a truth in the old saying, "An apple a day keeps the doctor away", after all!
Apples are not just nutritious and filling; According to a study, they are significantly associated with a lower risk of type 2 diabetes if consumed in moderation. | Photo by Pierpaolo Riondato on Unsplash
Avocados are a great source of healthy fats and more than 20 vitamins and minerals. They are high in fibers as well, and have been linked with lowering the risk of diabetes. Berries: Adding berries is one of the best ways to add a variety to your diabetes-friendly diet. You can choose from blackberries, blueberries, or strawberries because all of them are power-packed with antioxidants, vitamins, and fibers. Papaya is rich in natural oxidants, which makes it a perfect pick for people with diabetes. It reduces the chances of future cell damage.
Star fruit: This sweet and sour fruit is rich in dietary fiber and vitamin C. It also positively impacts anti-inflammatory processes and can help repair cell damage, and it has minimal fruit sugars as well. Kiwi fruit is an excellent source of Vitamin E, K, and potassium, and they are low in fruit sugars as well, which makes it a perfect diabetic-friendly fruit.
Avocados are a great source of healthy fats and more than 20 vitamins and minerals. | Photo by Kristine Wook on Unsplash
Melons (Musk melon and watermelon): Powerful hydrating fruits like cantaloupe and melons are recommended for people with diabetes, and people with the risk of developing diabetes. Eat-in moderation for multiple nutritional benefits like fiber, potassium, magnesium, vitamin B, and C. Dragon fruit is full of dietary fibers, vital vitamins, minerals, and antioxidants.
Pear are nutrient-rich, and they are known to fight inflammation and improve digestion.? Studies also suggest that consuming pears along with a healthy diet reduces the risk of type 2 diabetes. Orange: This citrus fruit is full of fiber that helps slow down sugar absorption into the bloodstream, and its vitamin C component helps improve immunity levels.
Add fruit to your salads to enjoy their goodness with a sprinkle of cinnamon, it tastes better and reduces sugar spikes . | Photo by Jo Sonn on Unsplash
Add fruit to your salads to enjoy their goodness with a sprinkle of cinnamon, it tastes better and reduces sugar spikes . Add nuts like walnuts and almonds to complement your fruit snack. you can also add flaxseeds to balance the glycemic load in the body. (IANS/ MBI)
Keywords: Diabetics, Apples, Star fruit, Pear, Melons, Kiwi fruit
By Nimerta C Sharan
Your monthly round up of the latest lifestyle launches, from luxury indulgences to artisanal creations, here's what you can look forward to :
Exciting news for all handbag lovers, luxury fashion house Louis Vuitton recently launched their limited edition handbags 'Artycapucines - Chapter 3'. Six internationally -- acclaimed artists have transformed the black canvas of the timeless Capucines bag into beautiful art pieces. Each bag will be available in a limited edition of 200 and will be released worldwide at the end of October 2021.
Exciting news for all handbag lovers, luxury fashion house Louis Vuitton recently launched their limited edition handbags. | Photo by Erik Mclean on Unsplash
Add To Cart
Looking for a quick festive fashion fix for you and your loved ones? E-commerce giant AJIO has announced it's hottest fashion sale starting September 30, 2021. The shopping platform has roped in stylista Sonam Kapoor as the face of the sale that will offer more than 2500 brands at discounted prices.
E-commerce giant AJIO has announced it's hottest fashion sale starting September 30, 2021. | Photo by Mitchell Luo on Unsplash
The country's leading design house, Good Earth, in collaboration with textile designer Madeline Weinrib will present its collection of 'butah' motif dinnerware and home textiles at the Metropolitan Museum of Arts, New York. The 'Heirloom Project' that honours diverse Islamic design techniques will display curated products from across the globe.
The 'Heirloom Project' that honours diverse Islamic design techniques will display curated products from across the globe. | Photo by Jean Vella on Unsplash
Sweet dreams are made of this! Iconic French patisserie Laduree has opened its first Indian outpost at Delhi's upscale Khan Market. Spread over three floors, the bakery currently has twelve macaron flavours, their signature pastries and tea cakes and other brunch and high-tea items on the menu. Bon appetit.
Iconic French patisserie Laduree has opened its first Indian outpost at Delhi's upscale Khan Market. | Pixabay
Bright And Beautiful
Raw Mango's latest festive edit 'Moomal' goes live on their website on September 26, 2021. Inspired by the richness and diversity of Rajasthan, the collection consists of organza and silk saris and shararas, gota lehengas and kurtas and embroidered odhnis. The colours and silhouettes are just right for the upcoming festive season. (IANS/ MBI)
Raw Mango's latest festive edit 'Moomal' goes live on their website on September 26, 2021. | Photo by Souravi Sinha on Unsplash
Keywords: Lifestle, AJIO, sale, Deepika PAdukone, saris, Motifs, artisan, art
Actress Kangana Ranaut has talked about how her weight adjustments for her latest 'Thalaivii' that "messed up many things" in her body and left her with "permanent stretch marks". For her role in the film, based on the life of late Tamil Nadu Chief Minister and former actress J. Jayalalithaa, Kangana had to gain 20kg and undergo major physical transformation several times.
She took to Instagram to share her experience, detailing that doing all that over the six months period left her with "permanent stretch marks". "Gaining 20 kgs in 6 months and loosing it all within 6 months that too in my thirties messed up many things in my bodya I also have permanent stretch marks as well but art comes to life with a price and more often than not price is the artist him/herself," she wrote.
"Thalaivii" showcases the varied aspects of Jayalalithaa's life, tracing her journey as an actress at a young age to becoming the face of Tamil cinema, as well as the rise of the revolutionary leader who changed the course of the state's politics. Talking about her upcoming works, Kangana currently has 'Dhaakad'.
She is also shooting for her next 'Tejas', where she plays a fighter pilot. The Indian Air Force was the first of the country's defence forces to induct women into combat roles in 2016. The film takes inspiration from the landmark event. 'Tejas' is directed by debutant Sarvesh Mewara. The film will be RSVP's second film which pays a tribute to the Indian military after the immensely successful film "Uri: The Surgical Strike" which was released in January 2019. (IANS/ MBI)
Keywords: Kangana Ranaut, Thalaivii, bollywood, stretc marks, actress, tamil cinema