New Delhi (India), February 12 (ANI): The Sovereign Wealth Fund (SWFS) and Pension Fund (PFS) have announced that the key drivers of the capital stream to India are “the role of India’s sovereign wealth and pension funds and The report, dubbed the role of pension funds, states: Growth.”
The report noted that these funds are key factors in capital inflows to the country and contribute significantly to sectors such as infrastructure, real estate, healthcare and renewable energy.
According to the report, as of November 2024, SWFS had invested around US$626 million directly in India, reflecting growing market interest.
He added that global funds such as GIC Private Limited, Public Investment Fund (PIF) and Temasek are playing a major role in this investment wave. The report noted that in 2023, these funds managed assets ranging from US$49.2 billion to over US$1.5 trillion.
The report states, “With a long-term investment perspective, stable returns and robust risk mitigation strategies, SWFS and PFS not only strengthen India’s economic trajectory, but also enhance the country’s appeal to global capital. There is.”
SWFS’ investment in Indian securities has also skyrocketed. In May 2024, it was reported that India’s total securities holdings by SWF increased by 60%, up from Rs 3 trillion in 2023 to Rs 4.7 trillion in 2024.
Despite the positive trend, the report pointed to certain challenges that could impact future investments. Issues like regulatory oversight, governance concerns, and geopolitical risks can pose hurdles to ensuring smooth capital inflows.
“Regulatory oversight, governance issues and geopolitical uncertainty can affect the smooth flow of investment. To fully realize the investment potential of SWF and PF, It is essential to focus on a climate of policy reform, transparency and a stable investment.”
Going forward, India’s rapid growth and growing interest from global institutional investors has created a promising outlook. The report states that strengthening partnerships between SWFS, PFS and the Indian market is expected to promote economic development and sustainable investment returns.
With a proper strategy, India is on track to become a global global hub for SWF and PF investment, contributing to long-term economic growth and prosperity. (ani)
(The story comes from the Syndicate Feed and has not been edited by Tribune staff.)