National Investment and Infrastructure Fund and Australia’s sovereign wealth fund to enhance cooperation

India and Australia on Monday signed a pact enabling India to source critical minerals from the resource rich country down under.

A memorandum of understanding (MoU) signed by Khanij Bidesh India Ltd (Kabil) and Australia’s Critical Minerals Facilitation Office will establish a framework for joint investments in Australian projects to mine critical minerals.

“This is an important area for both our countries and this agreement will give us the opportunities to both invest in Australia’s critical minerals sector and get Australian expertise in this area,” foreign secretary Harsh V Shringla said. India, as a manufacturing hub, requires access to critical minerals and Australia is a repository of these commodities, he said.


“Our investments together in this area would strengthen the resilience of supply chains when it comes to critical minerals,” Shringla added.

Australia has some of the largest reserves of critical minerals such as lithium, cobalt, and vanadium that are crucial for the manufacture of mobile phones, electric cars, solar panels and other hi-tech applications.

India, Australia and Japan also have a working group on creating resilient supply chains that focuses on critical minerals.

The Australian side unveiled investments of Australian $280 million, or about ₹1,560 crore, to drive collaboration in areas such as clean technologies, space and innovation.

India and Australia also signed a letter of intent to work towards a migration and mobility partnership agreement to benefit their students and professionals.

Shringla said a bilateral task force will work towards the mutual recognition of educational qualifications, describing it as an “important step forward” in view of the large number of Indian students studying in Australia.

The two sides also agreed to increase cooperation between India’s National Investment and Infrastructure Fund and Australia’s Future Fund, a sovereign wealth fund. In view of India’s interest in attracting Australian investments in the infrastructure sector, the Indian side is willing to match the tax benefits Australia gives to its sovereign and pension funds when they invest in the country, Shringla said.