India Sovereign Wealth Fund Targets Japanese and European Investors in $3.2 Billion Raise

India's quasi-sovereign wealth fund, the National Investment and Infrastructure Fund, is broadening its fundraising to investors from Japan to Europe as it seeks to complete a $3.2 billion target. According to Sina Finance, the fund said its latest infrastructure vehicle closed its first round at $2 billion, and Vinod Giri, managing partner for infrastructure, said it plans to raise another $1.2 billion within 18 months. Giri said the fund expects about $600 million in additional commitments from investors in Japan, South Korea, Australia and Europe. India is increasing infrastructure spending to support economic growth and is seeking global long-term capital for clean energy, transport and digital infrastructure. The fund has become an important channel for directing sovereign wealth and pension money into such projects. Indian officials have also stepped up overseas promotion, with ministers recently visiting North America and Japan to highlight rapid urbanization, a growing middle class and digital infrastructure strengths. Giri said investors have not materially reduced their appetite despite the rupee's decline since the outbreak of the Iran conflict. He said India's infrastructure market size, policy stability and track record of successful project exits allow overseas institutions to look past short-term currency weakness. He added that most global investors plan to double or triple their India infrastructure exposure over the next 5-7 years. The government has pushed infrastructure spending, with capital expenditure in fiscal 2026-27 more than six times higher than in fiscal 2014-15 at 12.2 trillion rupees, or $128 billion. Data centers will be a key investment focus. Giri said the fund expects to deploy large amounts of capital into the sector in the coming months, while also investing in energy, transport, urban infrastructure and electric mobility. The fund's first infrastructure vehicle raised $2.3 billion and invested in transport, energy and digital infrastructure. Established by the Modi government in 2015, the National Investment and Infrastructure Fund currently has about $70 billion in equity commitments across infrastructure, private markets, growth equity and climate investments, and it has previously set a goal of doubling assets under management to $10 billion.