ARA, a subsidiary of ESR Group Limited, has reached financial close with the Export-Import Bank of China (Exim) for a USD1 billion infrastructure fund with a focus on the Southeast Asia region. The fund, also known as China-ASEAN Investment Cooperation Fund1 II (CAF II), will invest in the infrastructure, energy resources, and ICT sub-sectors of ASEAN countries. Exim, ARA, Gezhouba Group Overseas Investment Corporation and China Road & Bridge Corporation (CRBC) will co-finance the fund.
ARA Private Fund’s infrastructure arm, ARA Infrastructure, will serve as an investment adviser.
According to the Asian Development Bank (ADB), Asia requires average yearly investments of USD1.7 trillion between 2016 to 2030 to support economic growth. The CAF II will key key in achieving this target.
