NIIF Aims to Secure a Minimum of Rs 20 Billion for Infrastructure Investment Trust

22 Jun 2023 , 02:54 PM

India’s National Investment & Infrastructure Fund (NIIF) is in discussions to raise a minimum of INR 20 billion ($244 million) for an infrastructure investment trust (InvIT).

NIIF’s objective is to tackle the shortfall in infrastructure spending within India, making it the country’s first major attempt to develop a capital-raising structure domestically.

Prominent investors in NIIF include the Abu Dhabi Investment Authority and Singapore’s Temasek Holdings Pte, as mentioned on the organization’s website.

Infrastructure investment trusts, known as InvITs, function similarly to mutual funds and enable pooling of assets for financing projects, thereby addressing the investment gap.

According to a World Bank report, India needs an estimated $840 billion investment over the next 15 years for urban infrastructure development.

NIIF’s plan to raise INR 20 billion for the InvIT marks a significant step towards meeting the country’s infrastructure funding requirements. This capital infusion will play a crucial role in bridging the infrastructure deficit and fostering economic growth in India.

For feedback and suggestions, write to us at [e-mail]