Chhattisgarh's ambitious IT project finally takes off after two decades

After nearly two decades, the Chhattisgarh government’s ambitious information technology (IT) project is finally seeing the light of day.

 

The plan to create an IT hub in the state was first proposed around 21 years ago, in 2003. Around 450 acres were proposed for the project. The state government offered attractive incentives, created investment zones, and developed ready-to-occupy buildings for IT, special economic zones, an IT investment region, and an electronic manufacturing cluster in Naya Raipur, the upcoming capital city of Chhattisgarh.

 

It was announced that units established within designated IT areas would be reimbursed 80 per cent of the land premium, as determined by the allotment agency, against a prescribed guarantee by the investing industrial unit.

   

Despite these efforts, the state could not find buyers for the IT hub. A number of IT firms, who had inked a memorandum of understanding to set up their units, failed to follow through.

 

“Last week, a Hyderabad-based IT company opened its office in Naya Raipur. This is the first establishment under this project,” said Chhattisgarh’s Finance Minister O P Choudhary.

 

The company, engaged in software and app development, set up its establishment in the central business district of Naya Raipur. Company officials had been visiting the state for the past six months and have now employed over 1,500 youth.

 

Choudhary said two more companies would start their offices in Naya Raipur soon even as the IT hub project in the state had finally started taking shape. The negotiation is going on with major IT companies and they will soon start offices in Naya Raipur, Choudhary said, adding that the state was expected to attract some big-ticket investments in the IT sector by 2025.

 

According to IT experts, the initiative taken by the government would certainly accelerate the project. "It is up to the government to attract multinational companies by offering tax rebates, subsidised land, fast-track process of paper work and permits, etc."

 

Besides, they said the state needs to have at least some skilled labour workforce of local employees. Experts said the state government now appears to be focusing on resolving key issues that previously hindered the progress of IT projects.