Mumbai, June 2: The Maharashtra government has set up a foreign investment cell in the chief minister's office to monitor and follow up various foreign investment proposals.

Chief minister Manohar Joshi told reporters that the move was in response to suggestions/complaints made by several foreign investors and non-resident Indians during his recent 12-day visit to China, Singapore, Hong Kong, Malaysia and Japan.

Joshi said that the cell headed by state Industries development commissioner Yashawant Bhave would submit reports to him from time to time and evaluate the expected investment potential in the state from the agreements signed.

During his recent visit to the far east, the chief minister sought suggestions on various social and financial issues that not only need huge financial support but innovative procedures too.

Joshi said the issues related to evolving some civic norms and legal framework for cleanliness that exist in Singapore for Mumbai. Efforts were being made to find ways for investment in infrastructure projects particularly in joint ventures.

Joshi said his government would look into the demands made by investors on government guarantee and repatriation. "I will take these issues before the state cabinet soon," he added.

According to him, the government of Malaysia was keen to cooperate with the state government in sectors like drinking water, roads and bridges, tourism and infrastructure. Malaysia has agreed to work on "build-operate-transfer" basis for roads and bridges.

Joshi said Sumitomo Bank has agreed to consider a loan syndication of up to $1 billion in drinking water, highways and expressways, industrial parks and townships and restructuring some public sector undertakings.

The state government, he added, was working on a pre-feasibility report in three sites for constructing an international airport for which the centre had given the nod. The three places being considered were Mhapan in Sindhudurg district, Rewas-Mandwa in Raigad district and Navi Mumbai.

On the stiff public opposition to the project at Rewas Mandwa, Joshi said "As of now there is no final decision on the site as the pre-feasibility study is underway." Asked about the suggestion made by experts that Sahar international airport could serve the purpose after clearing the encroached land and adding more runways, Joshi said civil aviation minister CM Ibrahim had given an assurance that the airport authorities would have the land cleared.

Copyright © 1997 Indian Express Newspapers (Bombay) Ltd.