Karnataka beckons China to invest in infrastructure

Karnataka Wednesday invited Chinese enterprises to invest in infrastructure projects in the state.

"As Karnataka needs to build strong infrastructure, China could be the best bet. With a view to taking bilateral ties to a new high, we favour expansion and deepening of exchanges and cooperation in all areas and settle questions left over by history," Chief Minister Siddaramaiah told Chinese Ambassador to India Le Yucheng here.

Noting that China had $3.8-trillion worth reserves, which were enough to meet India's capital needs, the chief minister reminded Le that his country had earlier expressed a desire to finance India's infrastructure projects to the tune of $300 billion.

"If approved by the Indian government, the (Chinese) investment would be the largest by any country, accounting for 30 percent of what our country plans to invest in infrastructure projects in this decade," Siddaramaiah said.

Observing that China had the potential to be the most enduring partner in India's quest for rapid development, he said Karnataka would attach great importance to friendly cooperation with China.

"I am sure this meeting will enhance friendship and promote bilateral relations between the two major regions in Asia," he said.

Recalling his visit to China in September 2013 with a 14-member official-cum-business delegation, the chief minister said there were a number of Chinese enterprises considering expansions and investments in India.

"Karnataka should be the first choice for Chinese investments, as it is one of the most entrepreneurial states in the country. There are huge opportunities for collaboration between the state and China in diverse sectors such as steel, engineering, agriculture, electronics, metallurgy, automotive and high-tech manufacturing," he said.

With demand for Chinese telecom and power equipment fuelling growth in trade, Chinese firms have opportunities to set up industrial parks across the state and provide a platform for sector specific development.

Referring to the strong presence of China's leading telecom major Huawei in this tech hub since 1999, the chief minister said the company's research and development (R&D) facility was not only its first, but also its largest outside China.

"Huawei has invested $150 million in building a new R&D campus on a 20-acre land in the city's IT corridor to accommodate about 5,000 engineers, though it currently has 2,700 techies working," he said.