Assistant Treasurer Gordon Rich-Phillips has today hosted the top echelon of India’s banking system in Mumbai, encouraging them to consider investing in Victoria and locating branches in Melbourne.

Mr Rich-Phillips told up to 35 key executives from the Indian Banks’ Association and top Indian public and private sector banks that Melbourne has a vibrant, high-growth financial sector which provided diverse opportunities for Indian banks.

“Victoria presents an attractive proposition for private Indian banks, given the compelling economic and demographic fundamentals presented by the Victorian business environment,” Mr Rich-Phillips said.

“Melbourne represents a great opportunity for Indian banks to leverage the first mover advantage in both retail and non-retail areas of the finance market.

“Victoria’s financial sector is diverse and robust, employing 110,000 people and contributing 11 per cent to Gross State Product (GSP) – worth $33 billion annually.

“The Victorian financial services sector is now the single largest contributor to the State’s GSP and the highest-value adding industry in the Victorian economy.

“Melbourne is also known for its significant private pension (superannuation) institutions, funds management and health insurance sectors.

“Victoria is Australia’s business centre for infrastructure investment with ready access to capital, talent and project opportunities. The majority of institutional equity investors are based in Melbourne, including the $90 billion Future Fund, Hastings Funds Management and Industry Funds Management.

“Victoria offers the lowest business tax burden of any state in Australia. Payroll tax in Victoria is 4.9 per cent. Victorian businesses with a payroll between $4 million and $13.5 million pay the lowest payroll tax in Australia.

“Victoria also has very strong economic fundamentals, with AAA ratings by credit rating agencies Standard and Poor’s and Moody’s.

“Melbourne is also an international centre for financial services education and research and is home to the Australian Centre for Financial Studies and the Melbourne APEC Finance Centre.

“The Victorian Government actively provides specialist advice to potential investors on development approvals, statutory approvals coordination, site location, infrastructure and utility requirements and the investment climate.

“The Victorian Coalition Government is committed to helping our financial services sector develop new partnerships around the world and to encourage investment from great nations such as India,” Mr Rich-Phillips said.

Minister Rich-Phillips is in India as part of the Victorian Government’s tenth Indian trade mission since December 2010.

More than 100 organisations are participating in the mission, representing Victoria’s strengths in education, information technology, tourism, sustainable urban design, clean technology and water management.

Source: Sachin Murdeshwar