The National Infrastructure and Investment Fund (NIIF), the Long-Term Irrigation Fund (LTIF), the Higher Education Financing Authority (Hefa) and the India Aspiration Fund (IAF) are changing the way government channelises financing resources to these critical sectors. NIIF: The NIIF’s mission is to catalyse long-term capital to the infrastructure sector in India. Over a period of four years between 2016 and 2020, the central and state governments will invest Rs 31,342 crore and Rs 46,253 crore respectively. LTIF’s initial corpus of about Rs 20,000 crore will be further augmented by way of budgetary resources and market borrowings. Seeding the Money PlantConverting a budgetary ‘grant’ from the government into financial resources for financing such institutions significantly leverages budgetary resources.

Source: Economic Times May 03, 2017 19:41 UTC