US-based Blackstone confirms 1 bln usd investment in India
NEW DELHI (AFX) – Peter Peterson, senior chairman of the New-York based Blackstone Group, said the private equity fund company will launch operations and invest 1.0 bln usd in the booming Indian economy.
Peterson met Indian Finance Minister Palaniappan Chidambarm here to discuss the group’s investment plans.
‘We are impressed with India’s reforms. We have decided to give the highest priority in Asia to investing in India,’ Peterson told reporters after the meeting.
‘We have done an exhaustive study of India with McKinsey, Citigroup and Goldman Sachs. India presents a very good opportunity for foreign direct investment. We know there are reforms in the financial system and that is one of the reasons we decided to come here.’
Earlier, the Asian Wall Street Journal quoted Blackstone chairman and chief executive Stephen Schwarzman as saying ‘we have allocated up to 1 bln usd for investment in India and will in due course be raising a dedicated fund for investment in the region.’
The Blackstone Group manages 14 bln usd globally and invests in real estate and corporate debt, as well as advises firms on restructuring.
Agence France-Presse reported that Finance Minister Chidambaram pledged comprehensive financial sector reforms yesterday to attract badly-needed foreign investment as the Congress government neared its one-year anniversary.
Chidambaram said the government plans to unveil a comprehensive policy for the banking and financial services sector by September, despite strong opposition from leftist allies.