Standard Chartered is launching 2 billion-dollar Asian fund according to a report in The Economic Times . Half of it is infrastructure fund with IL&FS, while the other half is set aside for real estate fund with an undisclosed Middle East partner. Speculations about Isthimar – a Dubai based investment firm are making rounds.

According to the report, a major chunk of the mega fund should find their way into India – one of the strongest performers in this field. This is good news for the Indian government who has pegged infrastructure funding needs at 500 billion for 2007-2012. About 30% of it is expected to come through private funding.

StanChart apart, ICICI bank – the second largest bank in the country is also joining the fray with a similar fund, so are other global firms like Citi, Axis Bank, Blackstone and 3i.