A Saga Of Hype And Losses

For almost a decade now, infrastructure has been an enigma to investors. On the one hand, the basic economic rationale of the sector is such that it should be a great investment. On the other hand, the actual experience that investors have had has been terrible. On paper, the logic is simple. There can be no two opinions about the huge gap between the scale of infrastructure that India needs and what it has. When the demand is there, and customers can pay for the product, then the suppliers should be making money and generating wealth for their shareholders. Unfortunately, this hasn’t happened. What has happened is a terrible cycle of hype and losses. In the couple of year

This article was originally published on June 03, 2011.