Kolkata: Investment climate in India is "unpredictable" which is discouraging European companies from investing in the country, Finnish Ambassador Aapo Polho said today.
"It is unfortunate that the investment climate in India is unpredictable. Those who had invested in China now want to shift elsewhere because of an increase in production costs. India would have been their natural choice," Polho said at a Bharat Chamber of Commerce session here.
He said because of the unpredictability of Indian markets investors are forced to look at other options like Vietnam.
There are only around 120 companies from Finland having bases in India, he said.
"And around 90 per cent of them are concentrated in Delhi, Mumbai and Chennai. So we are trying to promote other regions in India," the envoy said.
