India Oman form Joint Investment Fund
India and Oman have decided to form a Joint Investment Fund to make equity investment in various sectors of Indian economy. India’s largest public sector bank, State Bank of India and State General Reserve Fund (SGRF) of Oman have signed an agreement in this regard to create a corpus of US$100 million, which will have equal contribution from both. The management company shall be owned 50:50 by SBI and SGRF, with equal profit sharing by both sides.
The agreement was signed by OP Bhatt, Chairman, SBI and Warith Al-Kharusi, CEO, State General Reserve Fund (SGRF), Sultanate of Oman in the presence of Finance Minister Pranab Mukherjee and Ahmed Macki, Minister of National Economy, Government of Oman.
The fund will explore opportunities in all sectors without any specific preference. The fund would, for the present, limit itself to Indian investment opportunities. The government said the fund can be expanded to have a corpus of upto US$ 1.5 billion through future schemes, depending upon the experience of the initial fund. The purpose of the collaboration is to attract capital into India from that region, it added.
Speaking on the occasion, Mukherjee said that signing of Joint Venture agreement for the fund is part of the overall cooperation in various areas between India and Oman. He said that this Joint Venture Agreement will open a new chapter in the multi-dimensional relations between the two countries.