Investing In India: A Boost For Canadian Investors

It is widely acknowledged that India has an acute need for better transportation infrastructure (including roads, ports and airports) as well as better power and telecommunications infrastructure. For transport infrastructure alone, the Indian government has publicly estimated that investment of approximately US$320 billion will be needed by 2012. This represents a significant opportunity for foreign infrastructure investors, whether investing alone or in partnership with private Indian entities or state-run entities such as India Infrastructure Finance Company.

In making investments in Indian infrastructure, Canadian investors have found that even though Canada and India share a similar legal system based on English common law, there are differences that have created uncertainty for some investors. As well, Canadian investors have sometimes needed to be prepared to operate on a "non-level" playing field regarding government procurement processes,