State-run Government Service Insurance System (GSIS) said yesterday that it will invest in the Philippine Investment Alliance for Infrastructure (PInAI).
Robert G. Vergara, GSIS president and general manager, said that the pension fund will be the lead investor in the P25 billion infrastructure fund and a vehicle that will enable foreign investors to participate in the country's core infrastructure projects.
“Our participation in the PInAI as lead investor, will serve to enhance the return on our investment for the greater benefit of our members and pensioners,” Vergara said in a statement.
PInAI, which aims to create more jobs and develop a platform that will move the country's economy forward, will be managed by Macquarie Infrastructure and Real Assets (MIRA), a division of the Macquarie Group.
Vergara said that MIRA as fund manager, was chosen after a rigorous selection process of nearly nine months.
He added that along with GSIS and MIRA, two other foreign institutions will participate as anchor investor in the fund.
According to the GSIS chief, the investment horizon of the fund is 10 years, “which reflects a long term view on its investments.”
“We are pleased to partner with GSIS, the largest pension fund in the Philippines, particularly at a time of strong economic growth in the country,” Frank Kwok, MIRA senior managing director said.
“GSIS and Macquarie bring a unique combination of local and international expertise to support the delivery of core infrastructure projects in the Philippines,” Kwok said.
Among the areas of investment that investors can go into under PInAI, Vergara said, include transportation, energy, power, water, environment, communications as well as other PPP investment opportunities.