AIIB to invest $200 mn in infra fund

AIIB to invest $200 mn in infra fund

News:

1. The board of Asian Infrastructure Investment Bank(AIIB) has approved $ 100 million investment in the National Infrastructure and Investment Fund (NIIF).

Important facts:

2. AIIB is expected to approve $100million more in later stage in addition to $100million for NIIF.

3. India is hosting annual meeting of AIIB for the first time, which would be addressed by PM Narendra Modi.

4. India is the second largest shareholder in AIIB after China and is also the largest recipient of funds from the multilateral agency.

5. Nearly 25% of the total funds committed by AIIB have been committed for projects in India, both in the government sector and the private sector.

6. The Economic Affairs Secretary S.C. Garg said that there will be leverage of 10-12 times in the original investment , which can result in up to $ 2.4 billion flowing into infrastructure projects.

7. The Beijing-headquartered agency, which started operations in January 2016, has approved $4.4 billion investments so far, including $1.2 billion in India, making the country the largest beneficiary so far.

8. The government had sent a proposal to the AIIB seeking $475 million for the Mumbai Urban Transport Project-III which had already been approved in-principle.