MALAYSIAN INFRASTRUCTURE INVESTORS ASKED TO LOOK AT SOUTH INDIA

BY P.VIJIAN

CHENNAI, June 17 (Bernama) -- The newly formed Malaysia India Business
Council (MIBC) is calling on more Malaysian companies to invest in South India,
as the time was ripe for investments in the infrastructure and real estate
sectors there.

Leading the first MIBC delegation to Chennai, its president Krishnan
Tan said Malaysian companies should look into an abundance of opportunities
available in the southern region that is fast developing.

"The ability to access the market is pretty good now, with the global
economic slowdown and the cost (of doing business) has also come down.This is
reasonably a good time for Malaysian companies to partake of investments in
India," he told Bernama in Chennai.

A galaxy of high profile Malaysian companies, mainly from the real estate
and infrastructure sectors, are visiting two progressive cities in south India
---Chennai and Bangalore -- to scout for business opportunities

Overall, India's construction industry, which includes real estate,
infrastructure like roads, ports and airports, and industrial construction, is
worth RM511 billion (US$145 billion) and represents the second largest economic
activity after agriculture.

According to official estimates, the real estate market was valued at RM56
billion (US$16 billion) in 2006 but is forecast to tip RM212 billion (US$60
billion) by 2010.

Town planners say about 25 million new houses are expected to be built over
the next seven years for the increasing population with higher disposable
income.

The visit is jointly organised by MIBC and the Federation of Indian Chambers
of Commerce and Industry (FICCI), an influential trade body in the country.

The MIBC was formed last September and this is its first overseas mission.

--BERNAMA