Global policy trends that should interest Indian infrastructure sector (Column: Behind Infra Lines)
In a world where trade wars dominate news headlines, trade in goods is interesting, but trade in capital is no less exciting. The Indian infrastructure ecosystem should take note of some policy and regulatory changes globally over the last few months. These can potentially aid the country to significantly bridge the infrastructure financing gap.
As the Government Pension Investment Fund (GPIF) in Japan, the largest pension fund in the world, goes through a structural asset allocation shift, there are opportunities for countries such as India. The GPIF, with approximately $1.4 trillion in assets under management, is looking to allocate as much as five per cent to infrastructure and real estate — up from from under one percent in the past.
This shift is symbolic of pension funds in Japan and has gained momentum in the past six months. The number is staggering, as five per cent of GPIF’s assets under management translates into about $70 billion.
Full Content: Business Standard