The Karnataka State Cabinet on Thursday approved the new Industrial Policy for 2020-2025.
The policy, which will introduce significant fiscal, labour, and land reforms will focus on facilitating investments to the state by providing fresh incentives and easing regulatory processes.
"The focus of the New Industrial Policy 2020-25 is to exploit Karnataka's industrial prowess, creation of enabling environment, development of infrastructure, provide equitable opportunities for the people of the state particularly in industrially backward districts and Tier-2 & Tier-3 cities and ensuring inclusive development of investment within the state," the state government said in a release.
"The New Industrial Policy 2020-25 aims at holistic development of the State and looks beyond Bangalore with an aim to promote Tier 2 and Tier 3 cities as engines of economic growth. The Policy has grouped districts of the State into three zones, with a view to incentivise investments in the industrially backward districts. Industrially backward districts are classified in Zone-1 & 2 and Bengaluru Urban and Rural districts are classified in Zone-3," it added.
The state government further added that based on competitive strengths and potential for growth, the Policy has identified certain Focus sectors: Automobiles & Auto components, Pharmaceutical & Medical Devices, Engineering and Machine Tools, Knowledge-based industries, Logistics, Renewable Energy, Aerospace & Defence and Electric Vehicles.
( With inputs from ANI )