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Friday, 31 January, 2003, 18:25 GMT
Bangalore airport plans criticised
Aeroplane
Bangalore desperately needs an international airport

Delhi has been blamed by the southern Indian state of Karnataka for the delay in clearing a $230m international airport project in Bangalore, the high tech capital of India.

The absence of an international airport is considered to be a major detterent for Bangalgore's growth.

Karnataka Chief Minister S.M.Krishna said on Friday that a similar airport project in neighbouring state of Andhra Pradesh was also delayed and both the states would meet Prime Minister A.B.Vajpayee soon to speed up federal clearances for the two airports.

Mr Krishna's comments came on his return from Davos to Bangalore after attending the world economic forum.

Let down

The undue delay in getting the project operational is reported to have been an embarrassing topic of conversation during his interaction with foreign delegates at the business summit.

"It is intriguing why there is so much delay. It is all the more embarrassing as the Prime Minister himself had laid the foundation stone for the Bangalore international airport two years ago," said Mr Krishna.

The airport is to be built by a Siemens- led consortium with an Indian partner Larsen and Toubro.

Mr Krishna said foreign investor sentiment would be hurt by such delays.

"I would like to convey to the government of India our deep sense of let down," he said.

The chairman and chief mentor of India's leading software company Infosys N.R.Narayana Murthy was drafted into the Airport Board to instill confidence among foreign investors in the project.

Officials said the federal government has yet to pass a legal amendment that will allow private firms to build and run airports under a liberalisation programme.

The consortium, which signed a contract early last year, holds a 74% stake in the airport company, Bangalore International Airport Ltd.

Karnataka's government and the Airports Authority of India hold 13% each.

The government has set a deadline of 2005 to get the airport up and running but officials fear it could be delayed because of bureauratic hurdles.

See also:

23 Jul 02 | Business
07 Jul 02 | South Asia
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