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Project-Development-Company will take place in December: Addl Secy, Commerce Ministry

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Capital Market
Last Updated : Nov 27 2014 | 9:28 PM IST
Ministry of commerce will materialize the PDC (Project Development Company) by end of this year to identify projects and take them up in a fast-track manner with active involvement of the governments of those countries, said D.S. Dheshi, Additional Secretary, Ministry of Commerce at an ASSOCHAM event. The important development in progress is to set up a PDC (project development company) where leading financial institutions of India led by EXIM bank, State Bank of India (SBI), ILFS and in the partnership with the African Development Bank (ADB). There is a proposal to set up a company whether a fund which will identify a projects and take them up in a fast track manner with the active involvement of the government of those countries and business entities of Indian sites, said Mr Dheshi, Additional Secretary, Ministry of Commerce in his inaugural address at the ASSOCHAM India-Africa: Investing in the Future organised by ASSOCHAM.

H.E. Ms Gennet Zewide, Dean of African Mission in India and Ambassador Extraordinary and Plenipotentiary, Embassy of the Federal Republic of Ethiopia said, there is an unexplored investment opportunity in Africa, it has 50% of the world's gold, 90% of the cobalt, 40% of the world's potential hydroelectric power, 65% of the manganese, and millions of acres of untilled farmland, as well as other natural resources. The continent also has large reserves of oil. However, the main driving force for the development and growth are not theses resources but African government's investment in educating its large pool of young workforce, investing in infrastructure and the health of its people.

Ms. Zewide further said, Africa's investment and business appeal is an opportunity for prospective business in India and elsewhere. Africa took a significant political and policy measure by establishing regional markets such as COMESA, SADC and ECOWAS etc. which foster trade and investment relation amongst member countries by removing tariff and other trade barriers.

In order to grow further and realize our vision of reaching the level of a middle income economy as of 2020-23, a five year growth and transformation plan has been formulated in which agriculture, agro processing and manufacturing sector such as textile, leather and chemical industries are given priority. In order, to facilitate investment in the manufacturing sector the government is also setting up industrial zone with the necessary, added Ms Gennet Zewide.

Ambassadory V.B. Soni, Chairman, Overseas Infrastructure Alliance said, on the trade front from a level of $ 25billion in 2005-06 India's bilateral trade with Africa increased to US $ 67 billion in 2011-12. This is likely to touched to $100 billion mark in the next few years.

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First Published: Nov 27 2014 | 11:55 AM IST

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