Indian investments created 3 times more jobs than Chinese in Europe
Mumbai: Investments by Indian companies into Europe have created three times more new jobs on the continent than the Chinese investments have, a report says.
The Euro 43 billion invested by Indian companies between 2003 and 2012 has created 40,000 new jobs in greenfield projects, which is 3 times the ones created by Chinese firms, a report by The Europe India Chamber of Commerce (EICC) said.
The greenfield Indian investments stood at Euro 14 billion in 511 projects, versus the 428 projects by Chinese companies.
A majority 63 percent of the new employment generation and a sizeable 47 percent of the greenfield investments have gone into Britain, it said, noting that investments into mainland Europe are also growing.
"Indian businesses have shown an extremely good track record in turning around troubled companies and that has made their investments even in existing European enterprises as both job protecting and job creating ones," Sunil Prasad, Secretary General of the EICC, said.
A majority Euro 29 billion of the investments happened through mergers and acquisitions involving 411 transactions.
"Indian MNCs are seeking new markets for growth and diversifying risks, access to new technologies/R&D capabilities and leveraging their cash rich positions against low valuations in today's financial market," the report said.
The chamber has advised companies to stay invested in the continent in spite of the prevailing economic difficulties.
"Europe is today more committed to the Union, has an increasingly more competitive cost structure, has seen strong wage corrections and has attractive valuations of business and property prices," it added.