The total FDI Approvals in 2006 in India till October 2006 was around ` 27873 crores. Sectors like the Electrical equipments (including computer hardware and electronics), service and the telecommunication attracted the bulk of the FDI during the said period. Countries like the Mauritius, USA and Netherlands were the main source of such investments in the year 2006.
Highlights of FDI Approvals in 2006:
The total FDI inflow in India till October 2006 was around ` 27873 crores.
The main countries contributing to the bulk of such investments were Mauritius, USA, Netherlands, France, Germany, Japan, UK, Singapore, South Korea and Switzerland. The main Sectors, which attracted the bulk of such FDI in India were are as follows -
- Electrical equipments - Including Computer hardware and electronics
- Services sector - including financial and non-financial sector
- Telecommunication - including radio paging, cellular mobile and basic telephony
- Fuels - Power and oil refinery
- Chemicals - other than fertilizers
- Food processing
- Drug and pharmaceuticals
- Cement and gypsum products
- Metallurgical industries
The FDI Approvals in 2006 and its effects on the economy of India are as follows -
- Gross domestic capital formation grew by 23.7%.
- New 162 production sharing contracts awarded to Petroleum and Natural Gas sector.
- SMEs has witnessed increase in outstanding credit.
- Provision for tourist infrastructure increased to ` 423 crores.
- Bank's differential rate of interest scheme providing finance at the rate of 4% to weaker sections.
- Regional rural banks to open at least one branch in 80 uncovered districts in the financial year 2007-08.
- Seven ultra mega power projects were under process.
- Provision for national highway development program to be increased to ` 9,945 crores.
- 35 projects have been completed in 2006-07 and additional irrigation potential of 900,000 hectares to be created and training of farmers arranged.
- Loan facilitation through Agricultural Insurance and NABARD has also been facilitated.
- Corpus of Rural Infrastructure Development Fund to be raised.
- Defense expenditure allocation to increased to ` 96,000 crores.
- IT allocation for e-governance to increased from ` 395 crores to ` 719 crores.
- Exclusive health insurance scheme for senior citizens.