Advertisement
X

China's Largest Bank To Invest USD 200 Million Fund In Indian MSMEs

The ICBC, a top state-run Chinese bank which is the country's largest lender by market value, has opened its branch in Mumbai in 2011.

The Industrial and Commercial Bank of China (ICBC), China's largest bank is prepared to invest in the promising Indian micro, small and medium enterprises and ventures.

Zheng Bin, CEO of the Industrial and Commercial Bank of China (ICBC) India on Monday gave an overview of Indian start-up ecosystem and how to invest in them at the 2nd 'Start-up India' Investment Seminar organised by the Indian Embassy in Beijing.

"He also informed that the ICBC India has established a USD 200 million fund for investing in the promising Indian micro, small and medium enterprises (MSMEs) and ventures," the Indian Embassy said in a statement on Tuesday.

The ICBC, a top state-run Chinese bank which is the country's largest lender by market value, has opened its branch in Mumbai in 2011.

More than 350 Chinese mostly representing Chinese Venture Capital (VC) funds, angel investors participated in a day-long pitching session and seminar organised by the Indian Embassy in partnership with the Start-up India Association (SIA) and Venture Gurukool.

Forty-two Indian entrepreneurs representing 20 Indian start-ups took part in the event which was expected to fetch good investments for the Indian firms, Prashant Lokhande, Counsellor Economic and Commerce of the Indian Embassy who addressed the event said.

Four out of the 12 Indian firms which took part in the first start-up India investment seminar held last year got funding from the Chinese VCs to the tune of USD 15 million, the press release said.

In the current round, 7-8 start-ups out of 20 participants may get the commitment to the tune of USD 30 million, it said.

The event was planned to expose the Chinese VCs and investors to the promising Indian start-ups on one hand and help Indian start-ups to reach out to the huge Chinese investors' community for receiving investment for the growth of their companies, it said.

Addressing the event Acqino Vimal, Deputy Chief of Mission said Chinese investors should take part in the development process of India growth story through investing in Indian start-ups.

He said India's young demography, rapid economic growth and fast pace urbanisation and its challenges work as a hotbed for growth of Indian entrepreneurs and start-up ecosystem, as well as provide the opportunity for offering unique, innovative, and affordable solutions for these challenges.

Advertisement

During the seminar, a report "India – China: Start-ups & Beyond" by KPMG giving the detailed account of Indian start-up ecosystem and why it is a right place for making venture investments, was unveiled.

China has invested over USD eight billion in India in 2018. Last year, the bilateral trade between both the countries touched a historic high of USD 84.44 billion, and in the first quarter of this year, it witnessed a robust growth, netting USD 22.1 billion, up 15.4 per cent year-on-year.

India has been asking China to increase the investments to compensate for the huge trade deficit.

(With inputs from PTI)

Show comments
US