Top Wall Street firm Goldman Sachs may invest up to $1
billion in India as it sets up its own investment bank
in the country, a top executive said today.
Indian market represents tremendous growth and opportunity,"
Goldman Sachs (India) CEO Brooks Entwistle said in a statement.
"In the first couple of years, we''d like to put $1
billion to work in our principal business," he said.
The company is likely to look at direct investments in
companies, real estate and a fund of funds. "We''re
very focused on putting our own capital to work,"
on Thursday, Goldman announced that it had sold its stake
in two Indian joint ventures for $74 million to partner
Kotak Mahindra Bank, to set up its own investment banking
and securities business in the country.
jobs to move to India?
The company is also set to cut 250 jobs across its global
operations as it moves some work to India. Reports had
indicated that it was planning to move part of its British
administrative and IT departments to India later this
year. Many other British firms have outsourced call centres
or administrative work to India, including insurance majors
Prudential and Aviva, as well as British Telecom.
largest professional union, Amicus, warned that the decision
could spark a "wave of copy cat actions" and
the UK could lose tens of thousands of jobs. It said that
analysts have estimated that 2 million jobs could migrate
from European countries to English-speaking Asian countries
by 2008. Some unions are seeking to halt this trend by
persuading companies to sign agreements designed to protect
jobs in the UK.