The government has decided to set up a high-level committee on financing of infrastructure projects. The Committee to be headed by the former Deputy Governor of Reserve Bank of India Rakesh Mohan will review the existing framework and make recommendations. The panel will assess the investment required to be made by the Centre and the state governments, PSUs and Private Sector in the ten major physical infrastructure sectors during the 12th Five Year Plan. The committee will also identify areas and activities to be financed by them and make recommendations on the role the government can play in developing capital markets. Among other things, it will also identify regulatory and legal impediments constraining private investment in infrastructure and make specific suggestions for their removal.The investment target for creation of physical infrastructure has been set at 20 lakh 50 thousand crore rupees and the likely target will for 12th plan period is 41 lakh crore rupees. Half of this is expected from private sector and a significant portion of the rest will be funded by public sector undertakings through market borrowings. Our correspondent says that the government is giving high priority for creation of physical infrastructure for sustaining growth momentum and achieving inclusive growth. For this it is necessary to evolve the policy that will help in the flow of large capital resources for these projects.