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Udyog Mitra cleared projects worth Rs 10,000 crore in the last financial year. Almost 60 per cent of the total cleared projects have started taking shape in the State, he added.

BANGALORE, Oct. 1

KARNATAKA Udyog Mitra, the single-window investment proposals clearing agency, has sanctioned small and medium projects totalling close to Rs 4,000 crore in the first six months of the current financial year, Government sources said. The investment proposals have "come in uniformly, spread over the months", they added.

"We are hopeful of a sustained momentum in investment flow despite a general downturn in the economy," a Government official, who did not wish to be named, said.

The Udyog Mitra cleared projects worth Rs 10,000 crore in the last financial year. Almost 60 per cent of the total cleared projects have started taking shape in the State, he added. Investment proposals in the automobiles, electronics, pharmaceuticals and food processing sectors currently dominate the list, the official said.

Infrastructure for information technology seems to have taken a backseat as the sector is currently in doldrums trailing a cramped US market. Bio-technology offers are also on the rise, the officials said.

Since the equities market remains depressed, there is not much public money flowing into the market, the official said.

Lenders are also shying away from financing heavy projects following fears of adding on bad-loans to their balance sheets.

Though the momentum of investment is sustained in the small and medium industries, there is hardly any upward tick in large investments in the State.

It may be recalled that only 3.13 per cent of projects sanctioned in the Global Investors Meet in 2000 have been commissioned.

The meet sanctioned projects totalling Rs 27,050.76 crore. The only consolation is that 25.4 per cent of the projects worth Rs 6,872.03 crore are currently under way.

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