India, Oman to sign pact on Jt Investment Fund

New Delhi, Jul 12 (PTI) With an aim of providing greater
fillip to bilateral trade, India and Oman will sign an
agreement on setting up of a Joint Investment Fund during the
three-day visit of Omanese Minister of National Economy Ahmed
Abdulnabi Macki here beginning Tuesday.

The two sides had reached the understanding for setting
up the Fund during the visit of Indian Prime Minister Manmohan
Singh to Oman in November 2008.
The fund will have a seed capital of USD 100 million
which will go up to USD 1.5 billion and it will be operated
by the State Bank of India and the State General Reserve Fund
of Oman, official sources said.
Creation of the fund is aimed at providing greater
fillip to bilateral trade and investment relations between
India and Oman, they said.
The joint investment fund will help both countries to
guarantee investment capital for identified projects.
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
supporting industries.
On the other hand, India is keen to develop its
infrastructure such as ports, highways, power, refineries,
refrigeration as well as related industry to support its high
growth path.
"The establishment of such fund, apart from increasing
bilateral commercial engagements, will enhance people to
people contact between the two countries, India and Oman," an
official said. PTI AKK
RBT