New Delhi
The Confederation of Indian Industry (CII) has proposed the creation of an India Development and Strategic Fund (IDSF) to strengthen India’s long-term growth and global economic position.
The fund would be sovereign-backed and professionally managed to support both domestic and international investments vital for the nation’s future.
According to CII, the fund will have two parts — a Developmental Investment Arm and a Strategic Investment Arm. The developmental arm would focus on financing key areas like infrastructure, clean energy, logistics, MSMEs, education, healthcare, and urban development. It would invest in long-term projects and attract global investors, including pension and sovereign funds. The CII also suggested expanding the existing National Investment and Infrastructure Fund (NIIF) to serve this purpose.
The strategic arm would secure overseas assets important for India’s economy and security. These include energy projects, critical minerals such as lithium and cobalt, frontier technologies like AI and semiconductors, and key logistics networks. This approach aims to ensure India owns critical global resources instead of depending on others.
Summery
‘Fund should come from govt’
CII estimates that the IDSF could grow to a massive $1.3–$2.6 trillion by 2047, matching leading global funds. The initial funding could come from government assets, infrastructure revenues, and green or diaspora bonds.
‘Fund should remain under govt control’
CII emphasized that the fund should remain under government control but be managed by experts with transparency. CII’s Director General Chandrajit Banerjee said the fund would help finance India’s goals in infrastructure, energy, and technology beyond what annual budgets can support.
