Maharashtra loses top slot as attractive investment destination to Andhra in FY’19: RBI study

1 min read

News: Reserve Bank of India has released the data on the top attractive investment destination states.

Facts:

Key Highlights from the study:

  • In 2018-19,Andhra Pradesh accounted for the highest share in total cost of projects sanctioned by banks and financial institutions.
  • It was followed by Tamil Nadu, Maharashtra, Gujarat, Telangana , Rajasthan and Uttar Pradesh.
  • However,for the five year period between 2014-15 to 2018-19, Maharashtra has topped the list followed by Gujarat.
  • The study noted that 56% of the projects were taken up in six states- Andhra Pradesh, Gujarat, Karnataka, Maharashtra, Rajasthan and Tamil Nadu indicating their locational advantages over other states.

Factors for attractive investment destination:The deciding factors for a project getting sanctioned in a particular state are:

  • location of a project 
  • accessibility of raw materials
  • availability of skilled labour
  • adequate infrastructure
  • market size and 
  • growth prospects,