Mumbai: Enthused by the massive investment potential in the country's infrastructure sector, an agency of the Canadian Government is set to launch a $500 million-$one billion India-focused infrastructure fund soon.

Export Development Canada (EDC), an export credit agency of the government, will launch the fund along with some other Canadian and Indian peers. "We are coming out with an infrastructure fund soon. We will have 10 per cent equity participation in the proposed fund which will be launched before the end of the year," EDC President and CEO Eric Siegel said here today.

Other Canadian financial institutions will also join in the fund, which will have participations from Indian peers who will manage it. Siegel said the fund would eye investment in areas like power, road development, ports, airports, water treatment and other sectors where Canadian companies have proven expertise. "We are seeking equity investment in India and as a lender, our aim is to facilitate Canadian investment in India and boost trade between the two countries."

The poor infrastructure sector in India needs investment to the tune of $500 billion in the next five years. This calls for huge private participation and foreign investment.

Source : PTI