By NNN-PTI,
Muscut : Accelerating efforts to prop up growth as the global slump is threatening their ascending economic trajectory, India and Oman on Saturday put together a USD 100-million fund for financing multi-sector projects in the two countries.
The two countries also signed an agreement for protection of rights of about five lakh Indians working in the Gulf country after Prime Minister Manmohan Singh held wide-ranging talks with Omanese Deputy Prime Minister Sayyid Fahd bin Mahmoud bin Mohammed Al Said.
The discussions between Singh, who began his two-day maiden visit to the hydro-carbon rich country on Saturday, and Al Said focused on enhancing trade and economic ties.
The two sides signed an agreement for setting up of India-Oman Investment Fund with an initial seed money of USD 100 million, which would eventually go up to USD 1.5 billion.
The fund, which will see the two nations chipping in with an equal amount, will finance projects in various sectors, including infrastructure, tourism, health, telecom and urban development.
State Bank of India will be the nodal agency from the Indian side, while State General Reserve Fund of Oman will be on the other side. The agreement would be operational for a two-year period and is extendable, officials said.
The agreement is a part of an effort by the two countries to boost their spendings in various sectors, while reducing the impact of the global financial quagmire.