Indian firm opts for London as international hub

The new India Infrastructure Finance Company UK (IIFC UK) will use its operational London base to fund infrastructure projects in its native India.

Investment into London by Indian business continues to grow significantly each year.

Palaniappan Chidambaram

Indian finance minister

Palaniappan Chidambaram, Indian finance minister, said: "The UK is India's second largest trading partner and investment into London by Indian business continues to grow significantly each year.

"London's broad range of world-class services makes it an ideal destination for Indian businesses," he continued.

IIFC UK will use the city as a base to provide foreign currency to infrastructure projects in India and assist them in sourcing the equipment and services needed to carry out development work.

Michael Charlton, chief executive of Think London, the foreign domestic investment agency which helped the firm locate in the UK, said London offers Indian businesses the environment and connections needed to move their operations onto the global stage.

Last year, Punjab National Bank made London the international headquarters of its global business arm, stating that a presence in the city is "key" to any bank wanting to operate in the international markets.