NIIF and JBIC launch $600 million India-Japan Fund to boost investments in environmental sustainability

The main focus of the IJF will be on investing in environmental sustainability and low carbon emission strategies.

The National Investment and Infrastructure Fund (NIIF) and the Japan Bank for International Cooperation (JBIC) jointly launched the India-Japan Fund (IJF) on October 4, according to a release by the Ministry of Finance. The $600 million fund has the JBIC and Government of India (GoI) as its anchor investors.

The joint initiative is focused on increasing investments in environmental sustainability and low-carbon emission strategies.

The IJF is NIIF’s first bi-lateral fund, with the government of India contributing 49 percent of the target corpus and JBIC contributing the remaining 51 percent.

NIIF Limited (NIIFL) and JBIC IG (a subsidiary of JBIC) will support NIIFL in promoting Japanese investments in India and manage the $600 million fund.

The fund aims to play the role of being a ‘partner of choice’ to increase Japanese investments in India.

Commenting on the development the release by the Ministry of Finance stated that, "the setting up of India Japan Fund represents a key milestone in the strategic and economic partnership between the Government of Japan and Government of India."