The Centre is likely to ask all bilateral donors except Japan to pool their aid into an India Fund.
The plan comes on the back of an assessment of the size of aid the country receives.
An office will also be set up to deal with the aid that India will be giving, which is expected to cross $1 billion per annum soon.
In the Budget for 2003-04, Finance Minister Jaswant Singh said India would rework its aid programme
