Montek wants several debt funds for infra sector

The Plan panel has asked the Finance Ministry to examine the possibility of setting up several infrastructure debt funds (IDFs) to fund core sector development activities in the country, which are estimated to cost $1 trillion during the 12th Five-Year Plan.

Following up on the suggestions made during the recent visit of US President Barack Obama to India, Planning Commission Deputy Chairman Montek Singh Ahluwalia has written a letter to Finance Minister Pranab Mukherjee suggesting modification of the regulatory framework, and also on the need to exempt IDFs from payment of withholding tax.