Chinese investments in India grew 6-fold in 2015
The Dollar Business Bureau
Investments from China in India rose six-fold to $870 million in 2015 compared to the previous year, whereas more investments are expected as restrictions have been eased for Chinese companies due to favourable tax rates, said a report in a Chinese daily ahead of President Pranab Mukherjee's visit to the country.
Investment by Chinese companies in India reportedly grew six-times to around $870 million in 2015 from 2014, due to ease of investment restrictions and favourable tax regime and land rent policies in India, said Global Times while quoting business experts from China.
The report noted that the numbers for 2015 also doubled from that of April 2000 and 2014.
According to trade officials in India, the increased numbers show how Chinese investments entered in small numbers into the country.
Since last year, the Indian government has augmented its efforts to attract Chinese investments in the ‘Make in India’ initiative.
During his visit, President Mukherjee will address the India-China Business Forum in Guangzhou city on Thursday. More than 300 Chinese investors and investment officials are expected to participate in the Forum.
The overall FDI (Foreign Direct Investment) from China in India till date is around $1.24 billion, as per India’s official figures.
During the visit of Chinese President Xi Jinping to India in 2014, China has committed to invest $20 billion into the country.
However, India, which is relaxing the climate for investment for Chinese investors by easing visa and security restrictions, is asserting China to invest more into the country as trade deficit has crossed over $48 billion in China’s favour, in bilateral trade of $71 billion last year.