Govt nod to IT zones

The Cabinet Committee on Economic Affairs (CCEA) today approved the proposal to create Information Technology Investment Regions (ITIRs), which have been conceptualised to boost the growth of information technology (IT), IT-enabled services (ITeS) and electronic hardware manufacturing (EHM) units.

These regions could include new integrated townships, special economic zones and industrial parks. The regions would also have residential area, social infrastructure and administrative services.

These units will be built through public-private partnership route. State governments will select the developers and co-developers through a transparent bidding process.

“These ITIRs would be endowed with excellent infrastructure and supported through investor-friendly policies,” a Cabinet release said today.

The government expects such regions to be major magnets for investment, creating employment opportunities and economic growth in the area. Simultaneously, it will enable growth of new townships and dispersal of industry, thus reducing pressure on existing urban centres.

Each ITIR is expected to be a specifically notified investment region with minimum area of 40 sq km planned for IT and EHM units. The minimum processing area will be 40 per cent of the total area of the ITIR.

While state governments would ensure that all physical infrastructure and utilities within their jurisdiction are provided, the central government will facilitate the development of national highways, airport and rail links to the ITIRs.