French investments in India to grow at 10 per cent, says envoy

Panaji: French companies are looking at 10 per cent growth in their investments in India amidst growing ties between both the nations and Prime Minister Narendra Modi's recent visit to France. Long drawn business relations with India are being satisfactorily addressed by the Modi-led government, French Ambassador to India Francois Richier told PTI on April 3.

"Considering this, we expect investment by French companies in India to grow by 10 per cent this financial year," he said. He added that French investors are now diversifying from old areas of interest and exploring investment opportunities in newer sectors like port management and car manufacturing. Richier said around one thousand companies headquartered in France have invested in India, bringing in investment worth around USD 20 billion, employing three lakh people.

"Some of them have been here for more than one hundred years," he added. French investment in India increased during the former NDA government in 2000, with French companies investing across sectors, including cosmetics, cements, aeronautics, among others.

"Until recently there were some concerns. Conditions in India were not as good as they used to be but interestingly we have not seen a slowdown due to long-term engagements which French companies had with India," he said. Richier said that these concerns are now being fixed by the Modi-led government. "We have seen real determination to fix it," he added.