A private equity fund, christened as China-India Development Fund, amounting to USD 5 billion (over Rs 30,000 crore), has been launched for possible investments in infrastructure projects in India. Over Rs 6000 crore of this fund is expected to flow into Gujarat, official sources said on Tuesday.
The fund launched by Shanghai Entrepreneur Association (SEA) has the support of China India Trade & Investment Centre (CITIC), stated a release from CITIC here.
“Large infrastructure projects in India are not able to find adequate funding. In such a scenario, this fund will help provide the necessary finance. The SEA which has over 100 entrepreneurs is now looking for Indian partners which whom they can cooperate in various ways including joint venture participation for rail, highway, smart city and new city development projects,” said Jagat Shah, secretary general CITIC.
“The USD 5 billion is a private equity fund and we expect USD one billion to come to projects in Gujarat,” Shah told The Indian Express.
The China India Development Fund is looking to invest in Tran-state highways, inter-state highways, city ring-roads, transportation hubs, high-speed railways, international sea ports, airport construction, container wharf, iron ore wharf, satellite cities, industrial and logistic zones and real-estate.
SEA has over 100 entrepreneurs and where the leading company is Shanghai Pengxin Group which has more than 40 subsidiary companies with total assets reaching over 10 billion RMB (Renminbi).