India invites Chinese investment in infrastructure development

India invites Chinese investment in infrastructure development

With about a trillion dollars of investment expected in the Indian infrastructure sector over the next five–six years, a plethora of business opportunities are available for Chinese companies to invest in India, the Consulate General of India in Shanghai said at an investor meet in Shanghai.

These include infrastructure projects such as dedicated freight corridors, subway lines and SEZs, which are being created through public-private partnerships, Consul General Riva Ganguly Das said.

Addressing an India Investor Forum jointly organised by the CII and Indian Consulate General in Shanghai, Das said India has become the fourth largest country in the world in purchasing power parity terms, representing a great investment opportunity for foreign investors.

"With a combination of factors such as macro-economic stability, consistent growth, abundant skilled manpower, a well-developed banking and judicial system, a vibrant capital market and its large-scale investment absorption capacity, India offers attractive returns to prospective investors," a press release by the Consulate quoted her as saying.

Addressing the forum, Zhao Kangmei, the Vice Chairman of the Shanghai Municipal Commission of Commerce and the Vice-President of the Shanghai Foreign (Overseas) Investment Board, said the overseas investment policy of China assists Chinese companies in "Going Global" through speedy approval and financial assistance.
"Going Global" will remain a core policy not only for China, but also for Shanghai, in the 12th Five-Year Plan, Zhao said.

He hoped that Shanghai-based enterprises will further explore these opportunities in order to take Chinese foreign investments to a higher level.

J J Shrikhande, the Chairman of CII's India Business Forum in China, said that during Premier Wen Jiabao's recent visit to India, the two countries agreed to expand cooperation in infrastructure, environmental protection, information technology, telecommunications, investment and finance on a priority basis.

The leaders from both countries have set the ambitious goal of bilateral trade worth USD 100 billion by 2015, which would encourage mutual investment and bring rich benefits to both sides, he said.

It was time for Sino-India bilateral economic relations to graduate from pure trade to investment-led trade in order to make this growing partnership more sustainable, he said.

Senior representatives from EJ McKay, Deloitte and State Bank of India made presentations on the FDI policy of India and other related business laws and financial opportunities for investing in India.

Senior officials from YAPP Automotive Parts Co Ltd and Zhejiang Yankon Group Co Ltd -- two companies based in East China that have already made investments in India -- shared their success stories at the meet, the release said.

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