India's first Shariah-compliant infrastructure fund is on its way. A finance groups 2i Capital Group in a consortium with Oman-based Amwal Investment SAOC has launched a $300-million offshore Shariah-compliant Indian Infrastructure Development Fund. 2i Capital Group operates in UK, Mauritius and India. The fund with a seven years tenure has been registered with Securities and Exchange Board in India.
It is one of hosts of steps taken recently in providing shariah compliant financial solutions in India. A number of companies are eying Gulf investors who are attracted by ever rising Indian stock market. These companies also target local Muslims with deep pockets who don’t wan to invest in stock markets due to lack of information on the subject or the perception that it is haram (unlawful) to invest in stock market. “A lot of money is being allocated for India from the Middle East. By launching a Shariah-compliant fund, we are looking at tapping investors from the GCC (Gulf Cooperation Council) countries. The fund will invest in energy, road and highway projects. It will also focus on large urban infrastructure projects” says Vivek Sekhar, promoter of the 2i Capital Group.
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