Infrastructure projects, like building a large power plant, require a lot of money. To avoid using a company's own funds, project finance is used. This means creating a separate company just for the project, which raises money based on the project's future earnings, not the company's finances. This protects everyone involved, like the construction company and lenders. Project finance is popular for funding private infrastructure projects because it allows companies to take on big projects without risking their own money. This method is used in India and around the world to finance major projects efficiently and securely.