INDIA SEEKS INVESTMENT FROM UK IN INFRASTRUCTURE SECTOR
KAMAL NATH ADDRESSES INDIA UK CEOs ROUNDTABLE
Date : 21 Jan 2008
Location : New Delhi
Drawing the attention of CEOs, Shri Kamal Nath said: “We consider UK as one of the most important source of FDI for India not only amongst the EU countries but also vis-à-vis other countries in the world. With a share of 37% in EU’s total outflow of FDI in non-EU countries, I think UK is a very natural and important partner for a country like India that requires massive investment for its infrastructural needs”.
India is now the 3rd largest foreign investor in the UK in terms of projects, second only to the US and Japan. In the first half of 2006, according to Ernst & Young's European Investment Monitor 2006 Report, Indian investment into the UK overtook Japan, making India the 2nd largest investor in the UK. UK is the 3rd largest investor in India with a cumulative inflow of US $ 4.06 billion, (6.48%) since 1991. FDI inflows from UK in 2005, 2006 and 2007 (up to October) have been US $ 219.3 million, US $ 1749.8 million and US $ 398.5 million, respectively.
On the trade front, UK is the 4th largest trading partner of India with bilateral trade of US $ 9.8 billion in 2006-07, which is about 3% of India’s total trade. Percentages of bilateral trade compared to total trading basket of UK (US $ 1 trillion in 2006) are negligible. This again indicates an immense potential existing between the two countries.