Delhi tops FDI list in telecom

New Delhi, Apr 6 (UNI) Delhi has topped FDI list in the telecom sector during the first nine months of the fiscal 2006-07 with a share of 54 per cent in total capital's FDI inflow of about six-euro-billion.

This was followed by transportation, electrical equipment including software, service sector and hotel and tourism.

Transportation sector contribution to Delhi's FDI inflow has been 10 per cent during the period as against 8 per cent of electrical equipment including software, while service sector contributed only 7 per cent, Assocham President Venugopal N Dhoot said.

The industrial policy of the state government which laid special emphasis on promotion of industries that can achieve optimum level of production with less space, and can generate employment for skilled persons and sophisticated industries has resulted in the highest FDI inflow in teleccom, Mr Dhoot added.

Mumbai emerged as the second best city for attracting the FDIs, ranging over 4.25 euro billion followed by Bangalore, Chennai, Hyderabad, Ahmedabad and Chandigarh.

The Bangalore FDIs are estimated at 1.50 euro billion against 1 euro billion of Chennai, 0.75 euro billion of Hyderabad, 0.60 euro billion of Ahmedabad and 0.40 euro billion of Chandigarh.

Mr Dhoot said the thrust area for industrial development of Delhi in future will be hotels, power, tourism and transportation as these will register substantial growth in view of their demand with telecom sector coming to saturation, its growth graph will shift to sub-urban areas.

The National Capital Territory of Delhi will also emerge as one of the biggest centres for small scale industry because of its rich heritage of skilled craftsman.

Retailing and leisure industry including entertainment will also dominate the FDIs attractions in future as most of Delhi households prefer to spend around 40 per cent of their discretionary spending these and emerge as the fastest growing consumer market in India, mr Dhoot said.

The other sectors that will also emerge prefer destinations for FDIs include healthcare in which infrastructure is still a handicap, capital expenditure will witness a major rise to create advance health and medical services and medical treatment centres in future.

UNI