Despite the threat of a war looming over the subcontinent, Danish industrialisation fund for developing countries, IFU, is planning to hike its exposure to the country.
IFU deputy managing director Jorgen Dan Jensen said here that the fund was planning to increase its exposure in India and China from the present 15 per cent each to 20-25 per cent during the current fiscal. IFU has $400 million worth of funds at its disposal.
The increase will be effected through a reduction in exposure in some African countries, he added. Jensen said IFU was looking at more investments in the Indian food processing and telecommunications equipment companies. One of the businesses within the telecom sector could be in some optic fibre manufacturing with participation of companies from Denmark.
On the impact of the attacks on the US, Jensen said that it was still not known how things would unfold in the coming days and as a result it would be too premature to predict the course of action. IFU is also looking at exiting some of the Indian ventures where it has investments. IFU is earning a return on investment of 5-6 per cent.
The fund has invested in 50-odd ventures in India and as a policy participates in companies where Danish companies are stakeholders. At present its exposures are limited to 36 companies in India.
