New Campaign to Scout for Chinese Investments

News

• India  launched a new campaign to scout for Chinese investments under the ‘Make in India’ initiative with an investor’s meeting in Hong Kong, ahead of Prime Minister Narendra Modi’s expected visit to China next month.
• Ajith Ranade, member of the CII core group on China, said India’s youth population and implementation of economic reforms by the Modi government with special focus on manufacturing provide a fertile ground for China to investment in India to gain better returns on its investments.
• As China has nearly $45 billion trade surplus with India it could invest the same amount of money in India which could also fetch better returns.

Significance

• Hong Kong has played a major role in routing Foreign Direct Investment ( FDI) into China in the past and it could play the similar role for directing investments to India .
• The investors’ seminar is significant as Hong Kong is the gateway for Chinese investments.