Goldman Sachs, one of the largest global investment banks, is planning to invest up to $1 billion to expand its business in India. The additional investments would be made over the next two years.

The firm is very bulling on India, which it said is increasingly playing an important role in the world economy. Goldman Sachs is looking at sectors like realty and infrastructure, besides plans for investment banking and asset management.

Goldman Sachs had a partnership with Kotak Mahindra Bank for investment banking and stock broking since 1996. Earlier this year, the two groups decided to terminate the alliance and go separate ways.

Kotak Mahindra Bank had bought out the 25-per cent stakes held by Goldman Sachs in Kotak Mahindra Capital Company and Kotak Securities for a total consideration of Rs333 crore in March this year. Goldman had then announced that it would enter investment banking and stock broking on its own.

"We are in the process of building all our businesses in the country over a period of time and we have long term commitment to the country," L Brooks Entwistle, CEO of Goldman Sachs India said.