gandhinagar finance minister nirmala sitharaman on sunday underlined the need for embracing innovative strategies to attract private investment bridge financing gaps and foster sustainable development of infrastructure in citiesaddressing the g20 infrastructure investment dialogue the minister said that the situation with regard to financing infrastructure has become even more challenging in the wake of monetary policy tightening in key marketsthe tight monetary policy leads to the hardening of interest rates and the burgeoning debt repayment burdenagainst this backdrop she said innovative financing and funding mechanisms for cities could have significant potential to fill the increasing funding gapsit can complement the pool of funds available for infrastructure in addition to public investment and financing provided by multilateral development banks mdbs she addedwe need alternate solutions to leverage private sector participation in this context innovative financing instruments such as blended finance structured project finance securitization thematic bonds biodiversity offeringsand local currency finance are some of the needs sitharaman saidthe minister also made a case for developing an ecosystem to improve the creditworthiness of urban local bodies through appropriate policy and regulatory frameworkour investment decisions will shape the future of our cities and determine the quality of life for future generations the minister stressed in her opening remark the minister stressed on the need to recognise the potential of infrastructure in delivering public good and enabling shared prosperity which is the core value underpinning the overall theme of indias g20 presidency vasudhaiva kutumbakam pti