By IANS,
New Delhi : India has abandoned the plan to create a sovereign wealth fund on the line of Singapore, United Arab Emirates, Saudi Arabia, China and Russia, the finance ministry said Friday.
“The government had examined a proposal to create a sovereign fund of $5 billion for financing acquisitions of companies abroad. However, it was decided not to pursue this proposal,” Minister of State for Finance Namo Narain Meena said in written reply to a question in the Lok Sabha.
Currently, there are more than 50 sovereign wealth funds, managing assets worth nearly $3 trillion.
Most of these funds are run by the countries that have huge trade surplus. It is mostly funded by commodity revenues, predominantly from oil and gas exports.
Prominent sovereign wealth funds are of Saudi Arabia, UAE, China, Russia, Singapore, Qatar, Japan, South Korea and Bahrain.