Karnataka has emerged as the fifth most favourite investment destination across India for overseas investors, the apex industry body, Associated Chambers of Commerce and Industry of India (ASSOCHAM) announced here on Tuesday. With about 8 per cent share in the total foreign direct investment (FDI) proposed in 2011-12, totaling Rs 14,000 crore from about 48 FDI proposals, Karnataka ranks fifth in a state-wise analysis of FDI proposals filed in India during 2011-12, according to the ASSOCHAM findings.
"A total of 763 FDI proposals worth over Rs 1.78 lakh crore were filed across various states in India during 2011-12. Services, telecommunications, construction, computers (software and hardware), real estate and housing, chemicals, drugs and pharmaceuticals, power, automobiles and metallurgical industries are certain sectors attracting highest FDI inflows across India", said Mr Ravi Sannareddy, chairperson of ASSOCHAM's Southern Regional Council, while releasing the findings.
According to the analysis, with over 27 per cent share in total foreign direct investment (FDI) proposed in 2011-12, Odisha has emerged as the most favorite investment destination for overseas investors. Though, barely 17 FDI proposals were filed in Odisha, the state garnered a lion's share worth about Rs 49,527 crore in total FDI proposals across India.
With proposed investments worth about Rs 33,936 crore, Andhra Pradesh ranked second with a share of about 19 per cent from 70 proposals. Gujarat got the second highest number of 131 FDI proposals and ranked third with a share of over 11 per cent attracting investment worth Rs 20,258 crore, followed by Chhattisgarh with proposals worth over Rs 20,000 crore. Maharashtra though got the highest number of FDI proposals of 144, but the state ranked sixth with investments worth over Rs 12,000 crore.
ASSOCHAM has also recommended to the government to devise a mechanism to facilitate consultation between the Centre and State governments before rolling out a policy to ensure that a decision, once taken, is not affected.