Buoyed by relaxation of FDI norms, NRI tycoon Yusuffali M A, who heads the Dubai-based retail conglomerate Lulu Group, has announced investment of over Rs 7,000 crore in India for setting up shopping malls and hotels.
According to a PTI report: Ali said his group will invest Rs 4,650 crore in Kerala, Rs 1,000 crore in Uttar Pradesh and Rs 1,410 crore in Telangana in the hospitality and retail sector.
Complimenting the NDA government for raising FDI cap for various key sectors, Ali estimated that investment to the tune of $150 billion will flow into India’s retail, aviation, tourism and manufacturing sectors from the Gulf countries in the next few years.
He said Prime Minister Narendra Modi’s outreach to a number of Gulf nations coupled with new initiatives to attract foreign investment have made India the most talked about FDI destination in the region which is eyeing to broaden its non-oil investment.
“There will be a tremendous push from Gulf investors into India as the they are looking to broaden their non-oil investment,” he was quoted by PTI as saying.
Ali’s Lulu Group, having an annual turnover of $6.3 billion, has already made major investments in retail, hospitality and food processing sectors in India.
The Forbes magazine had last year listed Ali, a first generation migrant to the Middle East, as the 30th wealthiest Indian and the 737th richest in the world.
Ali said the company will initially invest Rs 1,000 crore for setting up a shopping mall and a five star hotel and convention centre in Lucknow. The site for the project has already been identified and construction work will start by December.
In Telangana, Ali said his group is investing Rs 500 crore for establishing a food processing plant, while a shopping mall will be set up with an investment of Rs 900 crore in Hyderabad.
In Kerala, Ali said his group is making an investment of Rs 4,650 crore in a number of projects.
A shopping mall and a five star hotel with investment of Rs 1,250 crore is being set up in Thiruvananthapuram, he said, adding another five star hotel will come up in Kochi at an investment of Rs 1,600 crore.
The Lulu Group is also a setting up a world class IT Park at Kochi with an investment of Rs 1,400 crore.