China, BRICS bank will boost investment in India: businesses

SINGAPORE: Pinning their hope on the BRICS' $100 billion ' New Development Bank' for investment flow in India, Indian business community sees China as a source of investment in value added manufacturing and infrastructure.

"Investment flow into India would increase with the coming of BRICS bank. We are looking at China for investment in infrastructure and value-added manufacturing," Chandrajit Banerjee, director general of the Confederation of Indian Industries, said today.

"I think there is much more for China to gain from India in terms of investment," he said at a lunch talk hosted by the Lee Kuan Yew School of Public Policy.

"We do want value-added manufacturing investment from China," Banerjee said, adding that Chinese and Indian businesses could complement each other.

He also pointed out that Indian companies were doing well in China.

India will have the Presidency of the BRICS' $100 billion 'New Development Bank' for six years with headquarters in China that will become operational in about two years, a major step for reshaping the international financial system dominated by the West.

The New Development Bank to be based in Shanghai, China's financial hub under the agreement reached after negotiations among the five country-grouping BRICS - Brazil, Russia, India, China and South Africa.