Ahmedabad, 26 October 2012

According to a study carried out by The Associated Chambers of Commerce and Industry of India(ASSOCHAM), Gujarat accounts for the highest share in the total outstanding private sector investments including both domestic and foreign private sectors across India.

Of the total outstanding investments in Gujarat worth over Rs 14.8 lakh crore, private sector accounts for over Rs 10.3 lakh crore. The state registers a share of about 12.5%(highest) in the overall private investments across the India, according to a sector specific analysis titled Composition of Outstanding Investments Across States, carried out by The Associated Chambers of Commerce and Industry of India (ASSOCHAM).

With private sector investments worth over Rs 8.8 lakh crore, Odisha ranks second with a share of 10.7% in the total private sector investments across India. Maharashtra (8.95%), Andhra Pradesh (8.4%) and Karnataka (7.2%) are other states with maximum share in outstanding private sector investments across India. Kerala, Himachal Pradesh, Jammu and Kashmir, Uttarakhand and Assam have the least share in India s total private sector investments which is even less than one percent.

According to Bhagyesh Soneji, Chairperson of ASSOCHAM Gujarat, flow of the private investments is decided by the attractiveness of investment opportunities as they are mostly driven by profitability considerations. Bureaucratic efficiency, infrastructure facilities, and ease of land acquisition influence the flow of private investments.