Last month India’s Finance Minister announced that henceforth irrigation projects shall also be considered for the Viability Gap Funding (VGF) scheme. VGF is provided by the Government of India in form of grants (one-time or deferred) for infrastructure projects which are commercially unviable and where the private sector is encouraged to participate. Governments support in the form of VGF is expected to bring action in this area, which has see lackluster response in the past where states have tried to initiate some sort of PPP projects and which have largely been considered unfeasible by the private sector.