Bengaluru has emerged as the frontrunner among Indian cities driving foreign direct investment (FDI) into London, accounting for an impressive 13 percent of global FDI flows to the British capital last year, according to Hemin Bharucha, regional director-India and Middle East, London & Partners, a trade growth agency.
Speaking to indianexpress.com on Thursday, Bharucha said, “India accounts for 30 per cent of London’s global FDI. But 40 percent of the wind coming from India comes from Bengaluru alone. So, if you look, about 13 percent of the global FDI that came to London last year was from Bengaluru alone. Other cities are not far behind. Mumbai, Pune in the west and Delhi and NCR in the north are also ahead. We are also seeing a lot of success from fast emerging cities like Coimbatore, Madurai, Chandigarh, etc. “
Janet Coyle, Managing Director (Business Growth) of London & Partners, said that this year alone, the agency has helped 23 companies in India and helped 31 companies expand last year. “We also measure Gross Value Added (GVA) in the economy. For Indian companies, it is around 40 million pounds annually. We measure GVA based on the jobs created, the sectors in which they are located and the potential for growth,” said Koyal, who is on a two-day visit to India to discuss business trends and innovation between London and Indian cities, key sectors, technological cooperation, and the future of India-UK business opportunities. .
Coyle said London in Bengaluru and the partner team are keen to engage with the city’s businesses, focusing on artificial intelligence, software-as-a-service companies, health technology, and other tech companies. “Our team here in Bengaluru is seeing more interest in decarbonization-type products and companies, health technologies, medical devices, life sciences, and spin-offs from major institutions. That’s where many of these new innovations are born and then they grow into startups. We are bio-innovation companies. And we look forward to supporting venture capitalists who are investing in them and helping them expand internationally,” she said.
Coyle emphasized that many Indian companies already well established in London are now seeking access to universities in the British capital to tap research opportunities in AI. “Established companies like TCS, Wipro, HCL, and Mphasis have been in London for decades. They are excited about the talent and innovation in London. They now want access to our universities for collaboration, especially in AI, as this is London’s core strategy. Indeed, Mphasis, Companies like HCL, and Wipro have already set up AI hubs in London, and we are in talks with some AI companies in India who have expressed interest in expanding to London,” she said.
Coyle said while companies don’t receive grants or free office space for expansion, the agency offers customized services that are free. “We work with each company on an individual basis, helping them understand the right structure for setting up in the UK. We connect them with partners, potential new customers, corporates, government and regulators, other stakeholders. We also connect them with investors if they are looking for growth capital. and provide support in recruiting the right talent. In addition, London also serves as a gateway to other global markets such as Africa, the Middle East and the rest of Europe,” she said.
London & Partners seeks to create opportunities for London-based technology companies to access Indian markets. “While we are helping Indian companies expand in London, we are also doing the reverse. We have brought 12 London-based technology companies to Mumbai and Bengaluru. We are connecting them with investors and big corporates so they can learn how to do business here. So, I am hopeful that we will see more companies from London here (in Bengaluru),” said Koyal.