The National Bank for Financing Infrastructure and Development (NaBFID) has signed a strategic Memorandum of Understanding (MoU) with the New Development Bank (NDB) to accelerate infrastructure financing and sustainable development in India. This collaboration marks a significant step towards creating a deep and sustainable infrastructure financing market, addressing the existing financing gap, and creating a supportive ecosystem around it. NaBFID, established in 2021, is India’s premier Development Financial Institution (DFI) focused on long-term infrastructure financing, while NDB is a multilateral development bank founded by the BRICS nations—Brazil, Russia, India, China, and South Africa.
The partnership will focus on areas such as clean energy, sustainable transportation, and water management, aligning with both institutions’ mandates to promote sustainable development. NaBFID aims to work with NDB on projects like renewable energy initiatives and sustainable water and sewage management, reflecting their shared commitment to environmental sustainability. This collaboration will not only bridge the infrastructure financing gap but also explore long-term opportunities through joint research, knowledge sharing, and thematic-level partnerships.
Rajkiran Rai G., Managing Director of NaBFID, highlighted the significance of this partnership, stating, “This collaboration with NDB marks a significant step in our commitment to nation-building and sustainable development. This MoU will help NaBFID accelerate infrastructure financing in clean energy and social impact projects, creating long-term value for all stakeholders.” Vladimir Kazbekov, Vice President and Chief Operating Officer of NDB, added, “We are delighted to partner with NaBFID to drive India’s infrastructure and social sector development. This MoU reflects our shared vision of fostering economic growth while promoting sustainable and inclusive development.”
The MoU also includes capacity-building initiatives such as joint seminars and workshops to enhance institutional capabilities and promote knowledge sharing. This partnership reflects NaBFID’s role in driving India’s economic growth and fostering sustainable development by addressing the long-term financing needs of the infrastructure sector. NDB, having committed over USD 35.6 billion in financing since its inception, brings extensive experience in mobilizing resources for infrastructure and sustainable development projects in emerging markets and developing countries.
Together, NaBFID and NDB will leverage their expertise to develop a supportive ecosystem for infrastructure financing, focusing on projects that contribute to India’s ambitious infrastructure development objectives responsibly and sustainably. This collaboration underscores their commitment to creating a deep and liquid market for bonds, loans, and derivatives for infrastructure financing, ultimately catalyzing transformative growth in India’s infrastructure sector.
