A week-long “Make in India” fair closed on Thursday with Rs 15.2 lakh billion in investment pledges, but thin attendance by foreign firms at the event launched by Prime Minister Narendra Modi means many are unlikely to actually happen. But PM is hopeful that the summit will create a favourable environment for investors from across the world.
Out of the total investment commitments, the host state made up for more than half, at Rs 8 lakh crore. Karnataka state government on Wednesday said it received investment intentions of about Rs. 9,700 crore during the Make in India Week organised by the Union government in Mumbai.
Some of the notable investment commitments are from Taiwanese electronics major Foxconn ($5 billion), South Korean steel producer Posco ($3 billion), US-based transportation network company Uber ($1 billion), US-based automobiles company General Motors ($1 billion), Noida-based mobile company Lava ($400 million), and Dutch technology company Philips ($60 million), according to the Department of Industrial Policy & Promotion.
The scheme, “Make in India”, for which the Modi-led government has reportedly spent close to Rs 100 crore in marketing alone, is part of the government’s push to create jobs by increasing the share of manufacturing to GDP to 25 per cent over the next decade.
Make in India – Progress
The first seven months of the landmark ‘Make in India’ initiative saw Foreign Direct Investment (FDI) soaring by 48%, said a media update from India’s Ministry of Commerce and Industry. Foreign Institutional Investors (FIIs) channeled a record $40.92 billion into India from October 2014 to April 2015, an unprecedented 717% FDI upsurge in the year-on-year period.
Gujarat is the best Indian state to do business in, shows the World Bank’s ‘ease of doing business’ ranking. The state, which has topped the list with a 71.14 per cent score, is followed by Andhra Pradesh (70.12 per cent), Jharkhand (63.09 per cent), Chhattisgarh (62.45 per cent) and Madhya Pradesh (62 per cent).