Govt to set up infra trust funds

The Union government is looking to set up an infrastructure trust fund, similar to real estate investment trusts in countries such as Singapore, by November to spur investments in the infrastructure sector.

Under the infrastructure trusts, the underlying revenue of a project will be transferred to a trust, which will issue units to investors, including foreign investors who want to buy the units.

The government was looking to develop the corporate bond market and encourage the Employees Provident Fund Organisation (EPFO) to invest in infrastructure projects.


Source: Business Standard