2 Malaysian Cos Submit Proposals To Develop Urban Townships

Hyderabad, Nov 7: | Updated: Nov 8 2003, 05:30am hrs
With the recent policy decision allowing 100 per cent foreign direct investment (FDI) in the urban township infrastructure building, the Central government has received two investment proposals worth $20 million from Malaysian companies. "We have received two proposals from Malaysian companies showing interest in developing urban townships one each at Gurgaon and Hyderabad," Mr B Dattatreya, Union minister of state for urban development told the media here on Friday.

While Feeback Integrated Infrastructure Private Ltd has sought approvals for Gurgaon township, IJM India Infrastructure Ltd has shown interest to build a township in Hyderabad with 100 per cent FDI. These companies, once obtained final approval, will have to complete the project with in 5 years time schedule, Mr Dattatreya said.

More foreign companies have expressed their desire to set up urban townships with the participation of local state governments. The urban development department has set up a separate cell to process the FDI proposals, he added.

According to the norms fixed by the government, to avail 100 per cent FDI, the company has to develop the urban infrastructure in the area of minimum 100 acres with 2,000 dwelling units. The minister said that they have received representations for relaxing the area norm from 100 acres to 50 acres. "We are examining the requests," he said.