MANAMA: Bahrain-based Gulf Finance House (GFH) has launched an economic development zone in India's western state of Maharashtra.

A ground-breaking ceremony was held in Mumbai to mark the occasion.

Spread over more than 1,750 acres of prime land outside the metropolis, it will be India's largest, foreign direct investment-driven integrated development and one of the most vibrant and technologically- advanced projects.

Located close to the proposed new international airport, it comprises three distinct components - Energy City, IT and Telecom City and Entertainment City.

It will house about 140,000 residents and generate direct employment for more than 250,000 people and indirect employment for 750,000.

State Chief Minister Ashok Chavan formally launched the infrastructure work alongside GFH chairman Dr Esam Janahi.

"We welcome this initiative by GFH, which will significantly contribute to large-scale job creation and the development of world-class infrastructure in Mumbai," said Mr Chavan.

"GFH Economic Development Zone will bolster Mumbai's and the state's position as a leading global business hub and the most attractive investment destination in India," he said.

"I thank the government of Maharashtra, especially Mr Chavan, for his continued support for the project, first in his capacity as the Industry Minister and now as the chief minister," said Dr Janahi.

"I would also like to thank our partners, Valuable Group and DAR Capital Group for assisting us in putting together one of the largest and most ambitious projects undertaken by GFH so far.

"India's exceptional economic growth has sustained despite the global downturn, and Maharashtra has proven to be the ideal investment and business destination within the country.

"The state authorities have encouraged and facilitated investors and businesses, and through Mumbai Economic Development Zone, GFH has sought to capitalise on the attractive opportunities in the state's infrastructure and energy and information and telecommunication technology sectors.

"Energy City will form a business hub with all the necessary components to cater for India's growing hydrocarbon and renewable energy industry and the ICT/Telecom segment and will feature a centralised and comprehensive ICT Office Park - catering to the specific industry needs," Dr Janahi added.