Library Header Image
LSE Research Online LSE Library Services

Financing road infrastructure in China and India: current trends and future options

Postigo, Antonio (2008) Financing road infrastructure in China and India: current trends and future options. Journal of Asian Public Policy, 1 (1). 71 - 89. ISSN 1751-6242

Full text not available from this repository.
Identification Number: 10.1080/17516230701850731


Road infrastructure has been a key input in the economic growth and poverty reduction strategies of China and India. The two countries have used very different instruments for road financing with China mobilizing substantial resources through directed credit by state-owned banks and India heavily relying on international institutions and fuel taxes. However, current modalities of road financing will be insufficient to meet future investment needs requiring both countries to explore new mechanisms to attract private capital and expand the fiscal space of central and sub-national governments. Different instruments of resource mobilization and intermediation are assessed and compared extracting lessons that could be valuable to many developing countries. Facilitating the participation of the private sector in road development would require inter alia strengthening regulatory frameworks and deepening and broadening domestic financial markets. But given the strong public good characteristics of large segments of the road networks in China and India most of the funding for road construction and maintenance would need to come from the establishment of efficient and sustainable systems of earmarked road-related charges, including a fuel tax in China.

Item Type: Article
Official URL:
Additional Information: © 2008 Taylor & Francis
Divisions: International Relations
Subjects: H Social Sciences > HE Transportation and Communications
H Social Sciences > HC Economic History and Conditions
H Social Sciences > HJ Public Finance
Date Deposited: 10 May 2022 08:00
Last Modified: 15 Sep 2023 17:10

Actions (login required)

View Item View Item