New Delhi: Kerala has attracted four foreign companies over the last five years, placing it ahead of Bihar in terms of foreign investments but trailing behind most other Indian states. While the state has made some progress, it still struggles to compete with top investment destinations like Maharashtra, Karnataka, and Gujarat, which have drawn a significantly higher number of foreign enterprises.
Despite its skilled workforce, infrastructure improvements, and investor-friendly policies, Kerala has faced challenges in attracting large-scale foreign investments. Experts cite factors such as bureaucratic hurdles, labor laws, and limited industrial land availability as key concerns for global investors.
In contrast, Bihar, which has historically struggled with industrial growth, has seen even fewer foreign companies setting up operations. However, states like Tamil Nadu and Telangana have emerged as major hubs for foreign direct investment (FDI) due to proactive policies and robust infrastructure.
With Kerala aiming to strengthen its industrial and economic landscape, the state government is focusing on ease of doing business reforms, special economic zones (SEZs), and incentives to attract more global players in the coming years.
