World Bank arm, Singapore GIC eye infrastructure fund
SINGAPORE, Feb 8 – The World Bank’s investment arm, International Finance Corporation, and sovereign wealth fund, the Government of Singapore Investment Corporation , are exploring the setting up of a global infrastructure fund.
“IFC and the Government of Singapore’s Investment Corporation are working together on a commercially run Global Infrastructure Fund,” said Babatunde Onitiri, IFC Country Manager for Singapore, in a statement.
IFC declined to disclose the value of the fund, which media reports have said in the past could be as much as US$1 billion.
In September, World Bank president Robert Zoellick, had first mentioned the establishment of the fund that would involve IFC’s new Asset Management Company and GIC.
He had said Asian investments in infrastructure will create a “win-win” situation for Western economies as part of the investments will translate into orders for the West.
The fund will be used to support infrastructure development in emerging countries in the region, IFC’s Onitiri said, adding that IFC may also cooperate with Singapore-based commercial banks and firms to invest in emerging markets around the world. – Reuters