Canada’s national pension fund which is managed by Canada Pension Plan Investment Board (CPPIB) has put in nearly C$7 billion ($5.30 billion) in India soon after making an entry into the market ten years ago. It is seeking opportunities to put in money in the Indian infrastructure, real estate projects and power.
Canada’s largest public pension scheme is seeing India as the main area for investment in Asia. This seems to be because India invests a valuable amount into infrastructure development.
“As a long-term investor, Asia Pacific is very important… India is our focus market in the Asia Pacific,” said Suyi Kim, senior managing director and head of Asia Pacific, CPPIB.
Indian Government that is led by Prime Minister Narendra Modi has plans to bolster the economy. Also, it aims to offer more employment by highly increasing the public expenditure on infrastructure to Rs 5.97 trillion ($87 billion) in the financial year ending next March.
Canada’s public pension fund might also show interest in the consumer sector as stated by the head, but further did not specify the details. Few of CPPIB’s recent deals have been carried forward with private sector lender Kotak Mahindra Bank and real estate developer Phoenix Mills Ltd.
“We’re going to continue to expand our real estate, power, renewable and infrastructure investments,” Kim said.
CPPIB at present has its shares in a few leading and emerging consumer goods companies including Hindustan Unilever Ltd, ITC Ltd and Britannia Industries Ltd. The fund also expects more deals with logistics platform IndoSpace Core, its joint venture with Indian property developer IndoSpace.