Top Investing Countries FDI Inflows in India has registered significant growth over the last few years due to the several incentives that have been provided by the Indian government. The increase in the Top Investing Countries FDI Inflows in India has helped in the growth of the country's economy.
Foreign direct investment in India:
Regulatory reforms were undertaken in India in the early 1990s to encourage FDI inflows to the country. Foreign investment in India is allowed through joint ventures, preferential allotments, capital markets, and financial collaborations.
The total amount of foreign direct investment in India came to around US$ 4,222 million in 2001- 2002 and the next year, this figure stood at US$ 3,134 million. The advantages of foreign direct investment in India are that it has led to transfer of technology, generation of new opportunities for employment, and infrastructure development.
Countries sending FDI to India are:
Sectors in India attracting FDI from foreign countries are:
- Telecommunications that includes services of cellular mobile, radio paging, and basic telephone
- Metallurgical industries
- Food processing industries
- Transportation industry
- Pharmaceuticals and drugs
- Electrical equipments that includes electronics and computer software
- Services sector that includes non- financial and financial
- Gypsum and cement products
Amount of FDI inflows from top investing countries in India are:
- FDI from Mauritius came to US$ 6,811.1 million between 1991 to 2002
- FDI from Japan came to US$ 1,254.8 million between 1991 to 2002
- FDI from U.S.A came to US$ 3,194.6 million between 1991 to 2002
- FDI from Germany came to US$ 3,603.94 million between 1991 to 2002
- FDI from Netherlands came to US$ 3,251.65 million between 1991 to 2002
- FDI from Singapore came to US$ 1,648.22 million between 1991 to 2002
- FDI from France came to US$ 1,995.79 million between 1991 to 2002
- FDI from U.K came to US$ 3,768.77 million between 1991 to 2002