Patna: The Government of Bihar has signed a memorandum of understanding with the National Investment and Infrastructure Fund Limited (NIIFL) to create a pipeline of investment-ready infrastructure projects and attract private capital into key sectors.
The agreement was signed on Tuesday in Patna, following approval by the state cabinet on December 9, 2025. The MoU was executed under the chairmanship of Anand Kishore, additional chief secretary, with Mukesh Kumar Lal, special secretary, signing on behalf of the finance department and Prasad Gadkari, executive director, representing NIIFL.
Officials said the partnership aims to strengthen Bihar’s infrastructure planning and financing framework by leveraging NIIFL’s technical expertise and advisory support. Sponsored by the government of India, NIIFL manages infrastructure-focused funds for domestic and international investors and will act as a knowledge partner to the state.
Under the agreement, NIIFL’s Strategic Initiatives and Policy Advisory (SIPA) team will assist the Bihar government in identifying greenfield and brownfield projects across sectors including health, urban infrastructure such as solid waste management and sewage treatment, roads, energy, digital infrastructure, airports and logistics parks.
The advisory support will also cover the design of suitable revenue and implementation models, including public-private partnership structures such as build-own-operate (BOO), hybrid annuity model (HAM), design-build-finance-operate-transfer (DBFOT), toll-operate-transfer (TOT) and infrastructure investment trusts (InvITs). In addition, NIIFL will help identify opportunities for asset monetisation in sectors such as roads and power transmission.
As part of the partnership, NIIFL will support capacity building by providing training to senior state officials on PPP frameworks and infrastructure investment practices. It will also offer technical assistance in centre-state coordination on mechanisms such as viability gap funding (VGF) and the India Infrastructure Project Development Fund (IIPDF).
Officials stressed that NIIFL would provide these advisory services free of charge, in line with its public interest mandate, and would not receive any financial benefit from the state government. The MoU will remain in force for an initial period of one year.
The agreement also clarifies that NIIFL or its affiliates will not receive any preferential treatment in future tenders, even if they provide advisory inputs on projects, and will be free to participate in bidding processes on an equal footing with other entities.
The finance department will appoint a single point of contact to coordinate data sharing and organise workshops to ensure smooth implementation. Senior officials from the education, energy, urban development and housing, and civil aviation departments were present at the signing, along with officials from the finance department.
The state government said the partnership would help Bihar develop world-class infrastructure while tapping alternative financing sources to accelerate economic growth.
