Mumbai : The Asian Infrastructure Investment Bank (AIIB) board on Sunday cleared a $200-million investment into the National Infrastructure Investment Fund (NIIF) that will help funnel up to $2.4 billion into the infra sector later.
The proposed fund will come in two tranches of $100 million each and will go into a fund of funds to be floated by the NIIF, top finance ministry officials said on Sunday.
“The AIIB board has approved an investment in the NIIF, and the first tranche of $100 million has got approved on Sunday, which would be followed by a similar tranche on call,” finance minister Piyush Goyal said here. India for the first time is hosting a two-day annual meet of AIIB’s board of governors here from Monday.
Economic affairs secretary SC Garg said there can be a leverage of 10-12 times on the money to be invested by the AIIB, which means nearly $2.4 billion of investments can take place in the sector. He said the money will come into the fund of funds like the green growth equity fund backed by the British government and will act as a platform to invest into other funds that will invest in infra projects.
