Korea Investment Corp. to establish overseas office in India

Korea Investment Corp. (KIC) will establish an office in India. It will be the sovereign fund’s fifth overseas office.

KIC announced on Monday that it received establishment approval from the Reserve Bank of India for its Mumbai office. This new office follows the ones in New York established in 2010, London in 2011, Singapore in 2017, and San Francisco in 2021.

Previously, KIC broadened its focus beyond traditional financial hubs, aiming to establish a presence in emerging growth regions.

Consequently, Mumbai, known as India’s financial capital, was chosen as the ideal location. The sovereign fund has been preparing to set up an office there since last year.

“India is emerging as a new core of the global economy and has huge growth potential. It is very meaningful for KIC to enter the market for the first time as a Korean public institutional investor,” KIC CEO Jin Seung-ho said. “Moving forward, the Mumbai office is committed to actively identifying investment opportunities within India, while also contributing significantly to reinforcing KIC’s position as a distinguished global investor.”

India is considered a principal beneficiary of global economic shifts, including the restructuring of supply chains. This is further bolstered by government support for a manufacturing revival through initiatives like the “Make in India,” which has led to a rapid increase in foreign direct investment into the country. Additionally, India is recognized for its structural growth potential, attributed to its relatively young and dynamic population and an expanding consumer market.

Recognizing the country’s advantage, foreign institutional investors are also rushing to enter the Indian market. In 2022, the Ontario Teachers’ Pension Plan Board from Canada opened an office in Mumbai. Last year, the Abu Dhabi Investment Authority officially announced its plan to enter the market. Saudi Arabia’s Public Investment Fund is also known to be preparing to establish an Indian branch soon.

Through the Mumbai office, KIC aims to focus on uncovering promising alternative investment opportunities, with a keen focus on venture capital and private equity investments. It is also expected to invest in physical assets, such as infrastructure and real estate, to support India’s economic advancement.