Karnataka IT juggernaut moves on

BANGALORE: Despite the IT industry venting its ire over Bangalore's insufficient infrastructure, the flow of IT investment hasn't hit any roadblock.

The Software Technology Parks of India (STPI) figures dispel any fears of flight of investment from Bangalore to other places. Ninety-seven new companies set up shop in Karnataka this financial year compared to 95 last year.

Almost half of these new firms are foreign equity companies. Revealing these figures, BV Naidu, director, STPI said that the State received around Rs 920 crore in foreign investment of the overall Rs 1520 crore investment. The investment in the state has grown 20% growth over last year.

Naidu said that exports from the State touched Rs 9000 crore during April - September this year (compared to Rs 7200 for the same period last year). “We are expecting around 30-35% growth in exports this year,” he said.

The State government has been criticized for its slackness in improving infrastructure facilities. Many companies and industry bodies fear that if improvements are not brought up to speed, Bangalore could lose its advantage as an attractive destination.