New Delhi, Aug 31: India’s toll collection revenue is projected to grow by up to 12 per cent in FY28, supported by periodic toll-rate revisions and resilient traffic movement, according to an industry report.
The expected growth underlines the continued expansion of India’s road infrastructure network and steady movement of passengers and goods across national highways and expressways.
Higher toll rates are expected to provide a direct boost to collections, while stable traffic volumes could offer additional support. Rising freight movement would be particularly important for sustaining revenue growth, as commercial vehicles account for a significant share of highway traffic.
The outlook is also positive for road developers, operators and infrastructure investment vehicles that depend on toll revenues for cash flows. Stronger collections can improve the financial performance of operational road assets and support investment in the sector.
India’s expanding highway network is another structural factor supporting the revenue outlook. As new expressways and highway stretches become operational, the number of toll-paying routes is expected to increase, creating additional opportunities for revenue generation.
The trend has wider economic significance. Efficient highways can reduce transportation time and logistics costs, improve connectivity between production centres and markets, and support the movement of goods across states. Recent government data also highlights the rapid expansion and digitisation of India’s national highway network, with FASTag playing a major role in streamlining toll payments.
At the same time, the sector could face challenges if economic activity or freight movement slows, while diversion of traffic to alternative routes could affect individual toll-road projects.
Overall, the projected double-digit growth in toll collections points to continued momentum in India’s infrastructure ecosystem. Rising traffic, periodic rate revisions and the addition of new road assets are expected to remain key drivers of revenue growth through FY28.