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Hyderabad News.Karnataka Leaps Ahead! Global Investor Meet on Day ONE Yeilds 2,30,000 Crore Investment Proposals!

Hyderabad News. TOI 05.06.2010


(Excl Ventures News.)

Karnataka got an investment promise of Rs 2.3 lakh crore on Thursday — Day 1 of the two-day Global Investors Meet (GIM) at Bangalore. The investment has a potential of creating 2.25 lakh new jobs.
State chief minister B S Yeddyurappa signed over 41 memoranda of understanding (MoUs) with investors, including some of the richest men in the world — L N Mittal, Azim Premji, Kumar Mangalam Birla, Shashi Ruia, Kris Gopalakrishnan, Vijay Mallya, Venu Srinivasan, among others. The Global Investors’ Meet’s target is 400 MoUs, Rs 3.5 lakh crore investment and 6.5 lakh new jobs.


Yeddyurappa said, ‘‘We want to make Karnataka a model state globally, known for its vibrant economy and investment potential. We want this investors’ meet to result in doubling the investments and employment opportunities in 2-3 years. This will, in turn, double the state’s revenues in 3-4 years.” Arun Jaitley said, “States will get more revenues if more investments come. More revenues mean more money for social security schemes.”





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Lakshmi N Mittal, the world’s fifth richest and the head of the world’s largest steel company, ArcelorMittal, said, “In 1990s, Karnataka is where the IT revolution began. Our project will take further the path of industrialisation in this state. We hope to have a fruitful relationship with Karnataka with the mutual aim of safe, sustainable, prosperous growth.”
Industry chieftains who followed spoke in the same refrain with Kumar Mangalam Birla, who already has a huge presence in the state, saying, “We have invested and will stay invested in all our businesses in Karnataka.” Wipro chairman Azim Premji said, “Karnataka needs to be more aggressive in attracting manufacturing industry like Tamil Nadu. It should go after large MNCs and become part of their global chain. Karnataka has a reputation of attracting services industry, but as TN has done with Nokia and Dell, it should chase large-volume, labour-intensive manufacturing.”


There were obviously more takers for Mannina Maga, Vijay Mallya —who got as enthusiastic a welcome from the crowd as L N Mittal — when he said Karnataka had much to sell. “We have a culture of knowledge. We have the human resources, excellent natural resources that are waiting to be exploited. Hence, people investing here will be as happy as I am.” He told prospective investors, “Welcome Home.”


Mittal, at a press conference later, said he has investment options in three states, whichever was speedier with clearances and land allotment would get going first. A sentiment that without doubt holds good for all the other investors who were so gung-ho about Karnataka today.


Comment :

Oops! After giving a good hot chase few years ago, AP has left the race and has gone to sleep! The numbers coming out of the GIM Bangalore are mind boggling. Also its notable that Karnataka is looking for Industrial Growth. Just having IT is not sustainable on the long run. Blue collar sector has to see explosive growth so that lakhs of technical manpower churned out by colleges can be absorbed.  

AP can only hang its head in shame. Few days back Govt said its planning 12000 crore investment in few years in IT. Pittance?!  AP need to emulate Karnataka and bring in industrial growth .. let graduating students get jobs...industrial growth will drive IT expansion too.



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