'India is most favoured for outsourcing'

NEW DELHI: India is the most favoured destination in the world for offshoring and the second most attractive country for investment, the Lok Sabha was informed on Tuesday on the basis of a study by global consultancy A.T. Kearney.

"The government has put in place a liberal policy for foreign direct investment (FDI), according to which FDI up to 100 percent is permitted in most sectors under the automatic route," Minister of State for Industry Ashwani Kumar said.

Accordingly, A.T. Kearney has rated the country the best destination for offshoring of businesses processes and the second best for investments, based on their FDI Confidence Index, he said in the written reply.

The areas where 100 percent foreign investment is permitted under the automatic route, he said, include infrastructure areas like the development of highways, roads, ports and airports, as also shipping and power generation.

"Major initiatives taken for development of physical infrastructure include greater public investment, encouraging private investment and facilitating public private partnership," he added.