There is a growing fear in industry and corporate circles that Hyderabad, long seen as a favoured international investment destination, will lose its sheen once Andhra Pradesh is divided.
As a permanent capital of Telangana state, Hyderabad will not have the same brand image that it now enjoys. There are many who feel that Hyderabad will be reduced to a provincial town status because of the possible flight of capital and industries from the city.
If there is any one city that will benefit immensely from the downfall of Hyderabad, it is Bangalore. The original silicon valley of India will gain from the denting of Hyderabad’s image.
All these years, Hyderabad has been giving a tough competition to Bangalore in terms of attracting investments, particularly in the Information Technology sector.
This sense of optimism was palpable at the Bangalore ITE biz event organized by the Karnataka government.
The Chief Minister Siddaramaiah was seen extending a warm welcome to the Union Minister for Science and Technology Jaipal Reddy at the venue.
Was the CM thanking Jaipal, who hails from Telangana region of Andhra Pradesh, for the upswing in IT services that may get diverted to Bangalore after bifurcation of AP.
Meanwhile, a latest survey has revealed that Bangalore tops the list of 21 best business destinations in the country ranked on the basis of socio-economic and infrastructure factors.
Chennai is at the second position, followed by Mumbai and Pune, in the list of Global Initiative for Restructuring Environment and Management and property consultant DTZ. Hyderabad is ranked 12th.
