SBI, Oman's SGRF to set up $100 mn equity investment fund
Country's largest lender SBI and State General Reserve Fund of Oman on Wednesday said they will jointly set up a fund with an initial corpus of USD 100 million (about Rs 450 crore) for making equity investments in India.
SBI and State General Reserve Fund (SGRF) inked a joint venture agreement to establish a fund, which will be expanded to USD 1.5 billion in due course. The fund will explore opportunities in all sectors, according to the agreement.
The initial corpus will be contributed equally by SBI and SGRF and both sides will manage the fund jointly.
On the occasion, Finance Minister Pranad Mukherjee said that the agreement would be a landmark and will open new vistas in economic relations between India and Oman.
Oman's Minister of National Economy Ahmed Macki said the fund will start immediately. The two sides had reached an understanding for setting up the Fund during the visit of Prime Minister Manmohan Singh to Oman in November 2008.
The Sultanate of Oman is keen for diversifying its oil and gas industry-based economy to a modern industrialised economy and for the purpose the country needs investment in manufacturing, tourism as well as warehousing and other allied industries.
