Cabinet approves mega IT zone near Hyderabad

REUTERS - The cabinet on Friday approved a plan to build an information technology investment zone near Hyderabad, aiming to attract 2.19 trillion rupees worth of investments over more than two decades.

The project, to be built over 202 sq km, will be implemented in two phases spread over 25 years, the government said in a statement. The first phase will be completed by 2018.

The cabinet had earlier approved a broad plan to set up mega IT zones in different states to help boost investments in information technology and electronic hardware manufacturing.

Hyderabad is the second major Indian information technology hub after Bangalore. Google Inc and Microsoft Corp have campuses in the city.

(Reporting by Devidutta Tripathy in New Delhi; Editing by Anupama Dwivedi)