Indian Union minister Suresh Prabhu said on Friday, India has aimed at a target to receive $100 billion in its Foreign Direct Investment (FDI) within two years and are creating industrial clusters for countries like China, Russia, Japan and South Korea to invest and operate.
According to news reports, the commerce and industry minister also said they have identified countries, sector and companies which would hold huge potential for foreign investment in India.
Prabhu said: “I have given a target. $100 billion of FDI should come from different sectors into India. It will not happen in one year. We have identified companies, sectors and countries and now we are going for road shows to attract investors.”
Prabhu said in 2019 India would remain a top destination for foreign investment and further the ministry would look forward to all sectoral issues that could come and invest and attract the overseas investment in India.
Prabhu said: “For countries like Japan, South Korea, China and Russia, we are creating industrial clusters where they can invest and operate.”
In fact, Prabhu said China has already agreed setting up an industrial park in India and also that Chinese authority were asked to give a list of those companies who are willing to set up their factories in India.
The Union minister said they would be happy if any firm from Europe and the United States wants to set up their bases in India.
Prabhu added: “We will be very happy to give them special status in India.”
Prabhu’s comment comes after they have marked several steps in 2018 regarding liberalizing norms and improving business climate in India in order to attract huge FDI.
According to reports, the total FDI in India with including re-invested earning, India has hiked from $60.22 billion in 2016-2017 to $61.96 billion in 2017-2018.
Professor Biswajit Dhar of JNU (Jawaharlal Nehru University) said: “Globally also, FDI inflows have cooled down. India needs to take steps in areas like infrastructure and procedural easing to further attract investments.”
The maximum FDI during 2018 was received by services, trading, automobile, construction development, pharmaceuticals, chemical, power, computer hardware and software.
In order to attract overseas companies, several states like West Bengal, Gujarat, Andhra Pradesh, Jharkhand, Uttar Pradesh and Madhya Pradesh are organizing investors to meet for their respective states.
The ministry also trying to help states to undertake similar exercises for their respective districts.
The ministry already started ranking states on their basis of doing business. Last report stated that Andhra Pradesh had topped in the chart among all states and union territories.