CCEA defers decision on IT Investment Region project in Bangalore

NEW DELHI: The Cabinet Committee on Economic Affairs (CCEA) today deferred the decision on setting up an IT investment region in Bangalore as state's Chief Minister Siddaramaiah has taken the charge a few days back.

"A new state Chief Minister has taken over, so the matter has been deferred and it will come up shortly," Finance Minister P Chidambaram told reporters in a briefing after the meeting.

The Karnataka government will provide land for the Information Technology Investment Region (ITIR). It will also ensure direct access to the region through national and state highways.

The project is expected to attract Rs 1.06 lakh crore of investments and generate about 4 million jobs -- direct and indirect employment to 1.2 million and 2.8 million people, respectively, by 2032, a source added.

The project, which was mooted by the Department of Electronics and Information Technology in 2008, will be implemented with the assistance of the Centre.

Karnataka contributes about 40 per cent of the IT exports of the country and the state has recorded IT exports of over Rs 1.35 lakh crore during the financial year 2011-12.

Out of the 25 lakh software professionals employed in the country, over 8 lakh are in Bangalore alone, he said, adding that the contribution of IT to Karnataka's GDP is over 20 per cent.