September 11, 2008

Infosys to rethink investment in West Bengal

BANGALORE: Infosys, the country's second largest software exporter, on Thursday said it was undecided on going ahead with investment plans in West Bengal, where socio-political opposition has thrown Tata Motors' Nano project into uncertainty. "We are yet to take any decision. I said we will have to relook and rethink because we are concerned about the safety of our employees," T V Mohandas Pai, Member of the Board, Infosys, told reporters.
On reports that the Chief Minister of West Bengal had got in touch with Infosys and assured them of the state government's support and cooperation, he said: "These are very encouraging remarks." West Bengal government is at present engaged in efforts to ensure completion of Tata Motors project to build a factory to manufacture the Rs one lakh car, Nano. The project has been held up over demand from the opposition Trinamool Congress for return of a portion of farmland allotted to the company.
Speaking about the economic scenario, Pai said the prices of oil had come down and that "will have tremendous impact on creating new growth impulses again". He said that the sub-prime crisis was wading through and with the US treasury having taken over mortgage giants Freddie Mac and Fannie Mae, "I think, we have passed the turning point. We have to wait and watch". There will be some stability in the financial markets, he hoped.
11 Sep 2008, 1542 hrs IST,PTI

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