Foreign Direct Investment (FDI) in Karnataka

Why Invest in Karnataka

• IT & Innovation Hub: Bengaluru is India’s Silicon Valley, a center for IT, fintech, and R&D.
• Manufacturing Growth: Significant developments in aerospace, electronics, and heavy industries.
• Favorable Business Environment: Pro-business policies and ease of doing business initiatives.
• Skilled Workforce: Access to a highly skilled workforce, especially in technology and engineering.

Incentives & Schemes

• Industrial Development Policy: Incentives for sectors like aerospace, biotechnology, IT, and manufacturing.
• Start-up Ecosystem: Focus on fostering innovation and entrepreneurship in the tech and biotech sectors.
• Infrastructure Growth: Government emphasis on transportation, logistics and urban development.

Key Economic Data: Karnataka

Category	Details
Capital	Bengaluru
GSDP (2023–24)	₹21.72 lakh crore
Growth Rate	9.3%
Per Capita Income	₹2,65,690
Top Sectors	IT, Biotechnology, Manufacturing
FDI Share in India	7%
Top FDI Sources	USA, Singapore
Cumulative FDI (FY2024)	₹14,000 crore (Q1)
Policy Impact	Focus on innovation, industrial growth, and infrastructure
Recent FDI	₹3,000 crore (2020–21)

Latest Insights

• Karnataka attracted ₹14,000 crore in cumulative FDI by Q1 FY2024.
• Bengaluru continues to lead the state’s economic growth, especially in IT and technology.
• Government-backed initiatives are driving infrastructure development and innovation in key sectors.