``We are working out the modalities for providing risk cover (foreign exchange) to the fund,'' Sinha told reporters after a meeting with nobel laurate Amartya Sen in Delhi.

Asked whether the fund would hit the market this month itself, Sinha said ``we are trying and UTI is also doing something about it.''

UTI chairman P S Subramanyam had last month said that the country's largest mutual fund company was confident of mopping up about $500 million from overseas market through the millenium fund within the current fiscal. The millenium fund was announced by Finance Minister Yashwant Sinha in his budget speech 1998-99 for getting the non-resident Indians contribute to the growth of the Indian economy. Government had not set any target under the fund as itwas not possible to fix targets while inviting foreign funds, Sinhasaid.

Millenium bond has been hanging fire with the government's unwillingness to provide exchange risk cover.