FDI Approvals in 2006

Abstract:

The total FDI Approvals in 2006 in India till October 2006 was around Rs 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 Rs 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 Rs.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 Rs.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 Rs.96,000 crores.
IT allocation for e-governance to increased from Rs.395 crores to Rs.719 crores.
Exclusive health insurance scheme for senior citizens.