The forecast for growth and business opportunities in India is very positive. Annual economic growth of around seven percent and the fourth largest economic parity worldwide gives India the opportunity to retain and expand its current world economic position. A steady low rate of the rupee against the euro supports Bavarian exporting endeavours.
Bangalore and Hyderabad, as IT centres in the country, are undergoing a continual boom which shows no sign of letting up. One of the first German companies to take advantage of this was SAP, who opened their location in Bangalore already in 1998. The IT industry remains one of the largest business sectors and will continue as such on the basis of anticipated steady growth.
The start-up scene currently represents one of the fastest growing sectors. In the first half of 2016 alone it has been able to acquire more than 2.1 billion US Dollar of investment. In addition to the large Venture Capital companies in India, investors from Europe are increasingly pushing for this promising market. The other largest industry sectors in India are the automotive, aerospace, agricultural engineering and pharmaceutical industry. In these areas, large German global players are already well-represented, as well as Indo-Bavarian joint ventures. The Government of India has pursued an investor-friendly financial policy over the past few years, which has led to the gradual liberalization of many industrial sectors and has greatly simplified entry into the Indian market. Furthermore, in recent years, four programmes have been introduced: “Smart City”, “Make in India”, “Skill India” and “Clean India”. The aim is to further develop the areas of effective urban planning, investors’ acquisition, education as well as environmental protection and thus create perfect prerequisites for local as well as international companies.