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Bangalore: British premier David Cameron did not meet Karnataka chief minister BS Yeddyurappa on his visit to Bangalore on Wednesday. However, he left behind a special gift for the chief minister — about 2,000 BPO jobs in Shimoga, the home town of both chief minister BS Yeddyurappa as well as BJP state unit president, KS Eshwarappa.
Global IT giant Xchanging on Wednesday signed a memorandum of understanding (MoU) with the state-owned enterprise KEONICS to develop a special economic zone (SEZ) in Shimoga and ramp up the capacity of its business process outsourcing (BPO) centre there. A global business processor, Xchanging will develop the new SEZ with a state-of-the-art processing centre on six acres of land. It will thus be among the first multinational firms to set up a centre in a tier-3 location in the country.

David Andrews, CEO of Xchanging, who is part of Cameron’s business delegation on this visit, signed the MoU with KEONICS managing director Harikumar Jha, in the presence of Yeddyurappa. “It is a great privilege to extend business in Karnataka,” Andrews said, adding, “We have received tremendous cooperation from the state government. We are looking forward to expand our business in the state.”

Yeddyurappa said the state would extend full cooperation to the company in developing the SEZ. After the recent Global Investors Meet (GIM) in Bangalore, several major IT companies were looking to set up business in Karnataka, the chief minister said. “We have decided to focus on developing tier-2 cities in the state to attract IT investment,” he added.

Chief secretary SV Ranganath pointed out, “Even in the midst of global economic recession, the IT exports from the state had grown 40% last year. To encourage the IT sector further, we are, for the first time in the country, setting up an Information Technology Investment Region (ITIR) at Devanahalli.”

In his message to the chief minister, British prime minister Cameron said: “I welcome this latest news from David (Andrews) and his team in Karnataka. My government is keen to lay the foundations of enhanced relations between Britain and India for decades to come.”
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