David Mulford, US Ambassador to India, on Tuesday, said the American government has chosen Hyderabad to locate its fourth consulate in India owing to its broad economic base with a blend of diverse businesses, besides being a city that works.The American consulate in Hyderabad, which is aimed at relieving the existing consulate offices in Kolkata, Mumbai and Chennai of their existing work pressure on visa issuance, will begin functioning late in 2008 from its temporary premises before shifting to a permanent facility.US President George W Bush, on his visit to Hyderabad in March last year, had responded positively to the state government's request for a consulate in Hyderabad as a majority of American visa-seekers from India are from the state.The state government has leased Paigah Palace, currently occupied by the Greater Hyderabad Urban Development Authority, for locating the consulate office. A 12 acre-land at Gachibowli, Hitec City, has been allocated to build a permanent structure to house the consulate. According to Mulford, the US government will spend $7.6 million on renovation of the existing building, while the own office campus would be ready by the year 2011.Chief minister YS Rajasekhara Reddy, who was also present on the occasion, said the gesture would go a long way in providing hassle-free passage for people to move between countries, as the entire world is moving towards becoming a global village.