Over next 5 years, China will invest nearly $100 billion in India

On September 17, 2014 i.e. PM Modi’s Birthday, the Chinese president Xi Jinping will land in Gujarat and will carry besides him $100 billion or Rs 6 lakh crore of investment promises over 5 years through his forthcoming India visit. This is approximately thrice the $35 billion locked by Prime Minister Narendra Modi during his recent Japan trip.
China will firstly invest $7 billion in industrial parks in Pune and Gandhinagar, which is just the tip of the iceberg as Chinese firms are eyeballing over $50 billion worth of investments in transformation of the Indian railways and running bullet and hi-speed trains in India. The Indian Railways has been granted approval for 100% FDI, and consequently it will come up with a wide-ranging plan for facilitating FDI in the sector. China is eager to invest additional $50 billion in roads, ports and the NDA government’s determined river-linking plan. The Chinese leader is coming with a delegation of over 100 business heads, involving those from China Harbour, China Railway Construction Group and Huawei, midst others, and will speak to a trade gathering of over 400 Indian CEOs in Delhi. The giant 4 Chinese banks (Bank of China, Industrial & Commercial Bank of China (ICBC), China Construction Bank and the Agriculture Bank of China) are also arriving with the delegation to give billions of dollars in advances to Indian infrastructure plans to be completed in joint venture with Chinese companies.

Month: Current Affairs - September, 2014