Karnataka, often referred to as “land of sandalwood” for its rich reserves of high -quality sandalwood and home to the only active gold mines in India, has long been an economic force. In his heart there is a Bengaluru, a state crown gem and “Silicon Valley”, known for the prosperous ecosystem of the trigger.
The state hosts more than 15,000 start -up businesses and hundreds of risk capital and corporate funds, with Bengaluru representing a majority. In addition to its dominance in the beginning space, Karnataka also makes progress in the production of semiconductors and will be built as a key player in Indian technological growth.
As the state is preparing for a meeting of global investors (GIM 2025) from 12 to 14 February, which will be attended by 18 countries, MB Patil, Minister for Great and Medium Development and Development of Infrastructure, the Government of Karnatak today speaks of the Ekosystem Ecosystem Business Ecosystem , its investment environment and global sentiment of investors. Modified excerpts:
Question: Karnataka has been a magnet for investment in recent years. Could you elaborate on some of the main investments that the state has recently secured and the industry that attracted the greatest attention? How do these investments shape the Economic Landscape of Karnataka?
MB Patil (MBP): Karnataka ensured significant investments across several industries with high growth and strengthened its position by one of the leading Indian industrial and innovation nodes. Since April 2023, the state attracted via RS 1.15 Lakh Crore to investments (investment in a single window) covering industry such as electronics, renewable energy, electric vehicles, air development and infrastructure development.
FoxConn: RS 22,000 Crore to set up an iPhone mounting unit on a 300-Acre website.
JSW Energy: RS 4 960 Crore for 600 MW captured wind energy.
Toyota Kirloskar: RS 3 700 crore for expanding production equipment and related operations.
Exide: Rs. 4,000 crore to set up Gigafactory
Hero Future Energies: 11,000 Crore across projects in the area of renewable energy, green hydrogen and its derivatives
Air India: RS 1 750 Crore to set up the most modern MRO device (maintenance, repair and repair).
SANSERA: Rs. 2 150 kr. For the production of cars
In addition, Karnataka announces several key confirmed investments during GIM.
Karnataka also has a robust pipeline investment about 1 Lakh Crore 1 Lakh, which bridges different high growth industries, which further strengthens the industrial ecosystem of the state.
For how integral is this ecosystem to the wider economic strategy of the state? Are there any projections for the number of new start -ups that are expected in Karnataka in the next five years?
MBP: Karnataka is one of the strongest starting ecosystems in India and leads the country in innovation, technological advances and business activities. With more than 15,000 active start -ups and more than 40% of Indian unicorns, becoming a global innovation center.
This prosperous ecosystem is supported by a robust network of more than 1,500 risk capital and corporate risk funds, along with more than 15,000 angel investors, supporting growth across key sectors such as IT, Biotechnology and Fintech.
Government initiatives, such as programs for the beginning policy of Karnataka and the flagship, such as the elevate program and Venturise Global Startup Challenge, were helpful in supporting business. These programs provide financial assistance, mentoring and infrastructure support and help start -up businesses.
Venturise in its 2nd edition of global investors focuses on the authorization of start -ups in sectors such as the design and production of the electronic system (ESDM), net mobility and air and defense.
This year, Venturise has received more than 900 applications from start-up companies dealing with challenges in the field, with 45 start-ups to set their innovative solutions on the event panel.
Since investment in risk capital exceeds only $ 4 billion in 2023, the robust IT infrastructure of Karnataka, a qualified workforce and a beneficial regulatory environment continue to attract global investors. The state's efforts not only build Karnataka as a leader in technological and business perfection, but also strengthens its role as the key driving force of economic growth in and outside India.
PA: How does Karnataka stand up as a global investment center, how does an international investor and a risky capital community monitor the state's potential? What are the factors that make Karnataka an attractive target for global investors compared to other Indian states?
MBP: Karnataka is widely considered to be a leading destination for global investors due to its economy based on innovation, qualified talent fund and first -class infrastructure. The state's efforts to reconcile with global trends resulted in a robust industrial ecosystem supported:
Global Partnership: Successful RoadShows in Japan, South Korea and the US ensured investments of $ 3 billion, which reflected the confidence of investors in infrastructure and talent Karnataka.
Strategic cooperation with global leaders such as Intel, Toyota Kirloskar and Foxconn in sectors such as semiconductors, green energy and production.
Political Framework: Policy of pure mobility and industrial policy 2024-2029 provides targeted incentives, including benefits and production-related subsidies to attract investments in high-tech sectors.
Technological Edge: Karnataka is located 42% of Indian unicorns and more than 500 GCC, which emphasizes its management in the field of research and development and technology.
Ease of business: a single -controlled AI window integrates real -time support, predictive analysis and GIS mapping for land allocation, which significantly streamlines the investment process.
P Could you outline specific initiatives or policies established on GIM 2025 to ensure fair opportunities across sectors and regions in Karnataka?
MBP: Global investors encounter (GIM) 2025, with the topic “Reimagining Growth”, which aims to build Karnataka as a global industrial and infrastructure center by supporting inclusive and sustainable development. The event will focus on the authorization of MSME, management of innovation in beginners, development of regional development and demonstration of key sectoral progress to attract domestic and international investments.
Karnataka focuses on high -value sectors such as air and defense, electronics, core production and logistics to speed up GDP growth and strengthen the integration of the supply chain.
At the same time, the state supports industry -intensive work, such as textiles, electronics production, global capabilities (GCC), research and development and support services for the production of extensive job opportunities. In addition, Karnataka is built as a center for research and development by actively supporting the solar industry such as future mobility, green hydrogen, drones, space technology, medical technology and semiconductors.
For attracting investments, the upcoming global investors of Meet (GIM) will present more than 100 speakers, B2G meetings and network sessions to show Karnataka for investors friendly investors. The state also creates groups of vision specific to the sectors led by the head of the private sector to streamline investment efforts and ensure efficient implementation. Strengthening global cooperation remains a key focus on strategic partnerships with Japan, South Korea, the US, the Netherlands and Germany focused on management and foreign investment.
The GIM 2025 aims to build a robust investment ecosystem with a long -term vision for inclusive and sustainable growth, which attracts not only capital but also brings tangible benefits for local communities. Karnataka by prioritizing key sectors and promoting global partnerships continues to strengthen its position in the field of innovation, industry and business.
PA: MSmes and the manufacturing sector are key pillars of the Karnatak economy. What steps does the government take to support these sectors, especially in terms of infrastructure, financing and political incentives? Are there any flag initiatives that make Karnataka a production powerhouse?
MBP: MSME and Karnataka's production industry are crucial for its economic strategy. The government introduced a complex initiative to strengthen these sectors:
Infrastructure development: reworking of more than 200 industrial goods and introduction of industrial parks specific to the sector, such as EV clusters in Dharwad and Aerospace Clusters in Devanahali.
Financial support: subsidies and incentives within industrial policy 2024-2029, including 20% -25% of capital subsidies for production projects outside Bengaluru.
Capacity building: Partnership with NASSCOM for providing Industry 4.0 training, MSME equipment with advanced digital tools and production technologies.
Connection of SME Connect: Platform allowing and medium -sized enterprises allowing access to financing, involvement in global buyers and participating in the throwing events.
These initiatives place Karnataka as a production powerhouse and at the same time ensure MSME integration into global supply chains.
PA: Karnataka is consistently among the leading economic artists among Indian states. Could you give an overview of its recent economic performance? Which sectors currently appear as growth drivers and what basic factors support their increase?
MBP: Under the guidance of the hunt. Minister of MB Patil, Karnataka, continued to excel as the most powerful state in India, managed economic growth in combinations of innovative policies, infrastructure development and strategic investments. The state consolidated its position as a global center for technology, production and sustainability, supported by the key initiatives that have shaped its economic trajectory in recent years.
Investment magnet: Karnataka has successfully attracted significant global investments, including $ 3 billion obligations through Roadshow in Japan, South Korea and the US.
Strategic partnerships with companies such as Foxconn, Chevron Corporation and Toyota Kirloskar also strengthened the industrial base across sectors such as aviation, semiconductors and green energy.
Leadership in technology and innovation: Karnataka represents more than 40% of Indian unicorns and shows its dominance in the ecosystem of triggering.
The state significantly invested in building a robust ecosystem of research and development, supported by 400+ global capabilities (GCC) and partnership with institutions such as IISC and IIT.
Industrial growth and inclusion: Industrial policy 2024-2029 focuses on sustainable and inclusive growth and offers incentives based on zones to support investment in level 2 and level 3.
Reserved industrial clusters such as Aerospace Cluster in Devanahali and EV production cluster in Dharwad were established to increase growth -specific to the sector.
SME Connect: through the MSE Connect initiative, the Government has seized more than 2,000 mSMe with training and resources, increasing their global competitiveness.
Infrastructure prepared for the future: Karnataka commitment to improve infrastructure, such as industrial corridor and knowledge of Bangalore-Chennai, ensures permanent economic competitiveness.
