Asian Development Bank (ADB) will invest 100 million US Dollars in India’s infrastructure sector through the government-promoted National Investment and Infrastructure Fund (NIIF) of India Fund of Funds (FoF). NIIF is India’s first sovereign wealth fund that was set up by the Government of India in February 2015.
ADB’s investment into the NIIF platform, the FoF has now secured $700 million in commitments. ADB will now join the Government of India (GOI) and Asian Infrastructure Investment Bank (AIIB) as an investor in the Fund.
The investment announcement comes at a critical time for India, whose already sagging economic growth is set to take a beating due to the coronavirus pandemic. It manages over $4 billion of capital commitments across three funds. ADB’s investment in NIIF will help catalyze institutional capital into domestic private equity funds in India, thereby contributing to greater availability of long-term growth financing for private sector companies and leading to the creation of quality jobs, social infrastructure development, and economic growth.
Important takeaways for all competitive exams:
- President of ADB: Masatsugu Asakawa.
- Formation of ADB: 19 December 1966.
- Headquarters of ADB: Manila, Philippines.
- Membership of ADB: 68 countries.