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Fourth-largest Economy in India with 80% of the Fortune 500 Companies having Outsourcing Operations in the State
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With the coalition Government of Congress and JD-S at the helm of state affairs, Karnataka is moving toward rapid development and is one of the forefront states to majorly contribute to the economy of the country. Karnataka is India's largest software exporter, second-largest chip design hub, fourth-largest automobile producer, and the fourth-largest contributor to electronic industrial output. In the southern part of the country, Karnataka is also a leader in the exports of readymade garments, jewellery, petrochemicals, and engineering goods. Karnataka was ranked number one in terms of investment proposals in first 3 quarters of 2018, leaving behind 2 major states, Gujarat and Maharashtra. As per the data of Ministry of Commerce and Industry, as of November 2018, Karnataka accounts for 25% of the total value of investment proposals in India, with approximately INR 84,000 crores.Bengaluru, the IT Capital and Silicon Valley of India, and also the state’s capital, has an established and strong ecosystem to facilitate IT and biopharmaceutical companies. The city is also the second-fastest growing start-up ecosystem in the world and is home to billion-dollar Indian start-ups. It is estimated to become largest IT cluster globally by 2025, employing around 2.5 million professionals. With the Government of Karnataka adopting the cluster development approach as a key strategy with a new scheme called Karnataka Cluster Development Programme (KCDP), the state will continue to prosper as the IT Hub of India, and the Knowledge, Research, and Innovation Hub of Asia, with high-end R&D centers of more than 400 MNCs.Investment Opportunities in KarnatakaWith a well-established and connected network to all major markets, 2 international airports, approximately 2,75,000 km of the total road network, approximately 3,500 km of the rail network, a coastline of 300 km with 12 minor ports and one major port at Mangalore, Karnataka is a land of massive investment opportunities. Some of the key sectors analyzed and studied are aerospace and defense equipment, agri and food processing, automotive, biotech, pharmaceuticals, and medical devices, and textiles.As quoted by Shri. Gaurav Gupta, IAS, Principal Secretary, Department of IT, BT, & S&T and Department of Commerce & Industries, Government of Karnataka, “the future is in India, the future is in Karnataka, the future is right now. Karnataka is a powerhouse of innovation in India, with the fourth-largest skilled workforce, and Bengaluru has been ranked as the No.1 Digital City in the world.”Author: Srikanth Bhat
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