GE to set up India infra fund of over $300-500 m

GE will set up an India infrastructure fund of USD 300-500 million, which will double over time. Jeffrey Immelt, the company chairman, says the Indian market never offered more potential than today.

Immelt's visit coincides with the Indian economy achieving its highest growth in 18 years. That kind of pace is an aspiration for GE, says the CEO who has set the goal of making GE grow at two or three times the world GDP growth rate. He says, “If GE can grow at the same pace as Indian economy we will be a great company.”



To make the world's most admired company greater still, GE is betting on six broad themes. Infrastructure, which is a 4 trillion dollar business over the next 8 years is one of them. Demographics is another. The third is the emerging world. Since India has a fit in all these three, it will provide the jet fuel for GE's growth in the future. So far GE has sold from India but never in India. But now, that will change.



Immelt says, “The Indian market has never offered more potential than today.”

GE says it will be a voice for development of infrastructure in India. It will invest in green technologies, including nuclear energy, and is tapping the worldwide excess liquidity for India. Immelt adds, “It is inevitable that we will set up a USD 300-500 million infrastucure fund for India.”


GE has an eight by ten strategy for India, which is USD 8 billlion each in revenues and assets by 2010. It projects revenues of USD 3 billion this year. That, however, is still a small amount for a company projected to earn USD 175 billion in revenues this year.