National Highway Construction May Decline 7–10% in FY26: CareEdge.

CareEdge Ratings has projected a 7–10% year-on-year decline in national highway (NH) construction in FY26, estimating the total at 9,500–10,200 km, down from previous levels. The anticipated slowdown is attributed to delays in project awarding, execution challenges, and persistent land acquisition issues. Consequently, the construction pace is expected to dip to 26–28 km per day. While the Ministry of Road Transport and Highways (MoRTH) is expected to award more projects than in FY25, the volume will likely remain below the historical highs recorded during FY21–23. Revised guidelines issued by MoRTH aim to streamline processes, but the sector continues to face on-ground hurdles. This moderation follows a strong performance in recent years and indicates a near-term recalibration in highway development momentum. CareEdge also notes that improved execution strategies and resolution of bottlenecks will be key to reviving the pace in the coming quarters.