Govt sets up trust to implement projects funded by diaspora
The Union government has set up a non-profit trust which would serve as a single window platform to implement projects funded by overseas Indians in the social sector.delhi Updated: Oct 04, 2009 13:23 IST
The Union government has set up a non-profit trust which would serve as a single window platform to implement projects funded by overseas Indians in the social sector.
The India Development Foundation of Overseas Indians (IDFOI) will be a one-stop shop to channelise investment by the diaspora in diverse fields including micro credit for rural entrepreneurs.
IDFOI has been set up by the Ministry of Overseas Indian Affairs after it was felt that capital flow from the diaspora for social development projects has been far short of the actual potential.
"It has been realised that diaspora philanthropy has been sporadic in absence of a proper platform to attract funds. That is why we decided to set up this trust," an official of the Ministry of Overseas Indian Affairs said.
As per a government figure, overseas Indians worldwide produce an economic output of about $400 billion.
The Indian diaspora is estimated to generate an annual income equal to about 30 per cent of India's gross domestic product.
"The broad objectives of the trust are to lead overseas Indian philanthropy into India and establish a mechanism through which various social development projects could be undertaken," the official said.