NIIF Infrastructure Fund II reaches $2 billion first close

The National Investment and Infrastructure Fund (NIIF) has announced the first close of its Infrastructure Fund II, raising approximately ₹19,000 crore ($2 billion). This amount represents more than 60 per cent of the fund’s ₹30,000 crore ($3.2 billion) target size.

Among the global institutional backers is the Canada Pension Plan Investment Board (CPP Investments), which has committed up to ₹2,070 crore ($215 million) to the fund. Other international investors include AustralianSuper, Temasek, and a subsidiary of the Abu Dhabi Investment Authority, alongside the Ontario Teachers’ Pension Plan. Indian financial institutions such as ICICI Bank, HDFC Bank, and Axis Bank are also participating.

The fund is anchored by the Government of India and aims to invest in sectors driven by long-term structural trends, including energy transition, digitalization, transportation, urban infrastructure, and electric mobility. NIIF expects to mobilize an additional ₹9,000 crore ($950 million) in co-investment capital to allow institutional investors to participate in specific transactions.