India´s first low-income state infrastructure equity partnership (the Neev Fund) was launched by Prime Minister Narendra Modi in UK in the presence of David Cameron, Prime Minister, United Kingdom.
The fund has co-investment from the UK Department of International Development, SBICAP Ventures Limited (SVL) and India´s largest lender, the government-owned State Bank of India. SVL, a 100 per cent subsidiary of SBI Capital Markets Limited, is the investment manager to the Neev fund.
In a joint statement, the two Prime Ministers recognised the importance of infrastructure for sustainable development.
The fund aims to provide equity partnerships for small infrastructure development in sectors like water and sanitation, clean energy and urban infrastructure. It will seek to demonstrate sustainable and inclusive development through small projects within target sectors.
Arundhati Bhattacharya, Chairman, SBI, said...the fund will invest in small infrastructure projects in eight low-income states of the country. This fund will help small projects raise capital and in the long term it will give an impetus to the growth of the nation.´
The fund documents were executed in March 2015, and initial close was achieved on April 10. The fund corpus is around Rs.470 crore.