DP World, NIIF join hands

Tribune News Service

New Delhi, January 22

The Finance Ministry today announced National Investment and Infrastructure Fund (NIIF) has made its first investment. Global operator of marine and inland terminals DP World today joined hands with NIIF to create a platform for investing up to $3 billion in ports and logistics.

The platform will invest in opportunities in the ports sector, and beyond sea ports into areas such as river ports and transportation, freight corridors, port-led special economic zones, inland container terminals, and logistics infrastructure including cold storage.

The first close of the NIIF Master Fund took place on October 16 last year with contributions from a subsidiary of Abu Dhabi Investment Authority (ADIA) and four domestic institutional investors (DIIs), HDFC Group, ICICI Bank, Kotak Mahindra Life and Axis Bank.

Subhash Chandra Garg, Secretary, Department of Economic Affairs (DEA) said, “NIIF, set up to function as a major platform in India for attracting foreign investments, has made good progress. We are pleased to learn of NIIF’s first investment to create an investment platform in the ports and logistics sector. Following its first close in October 2017 on the fund-raising side, and now with its first investment, NIIF is making visible progress.’’

The NIIF is being operationalised by establishing three Alternative Investment Funds (AIFs) under the SEBI Regulations. The proposed corpus of NIIF is Rs 40,000 crore (around $6 billion). The government’s contribution to the AIFs under the NIIF scheme shall be 49% of the total commitment. NIIF has the mandate to solicit equity participation from strategic anchor partners, like overseas sovereign, quasi-sovereign, multilateral and bilateral investors.

Investment opportunities 

• The platform will invest in opportunities in the ports sector, and beyond sea ports into areas such as river ports and transportation, freight corridors, port-led special economic zones, inland container terminals, and logistics infrastructure including cold storage
• The first close of the NIIF Master Fund took place on October, 16, 2017 with contributions from a subsidiary of Abu Dhabi Investment Authority (ADIA) and four Domestic Institutional Investors (DIIs) - HDFC Group, ICICI Bank, Kotak Mahindra Life and Axis Bank.