Impact of FDI on Andhra Pradesh Economy
Impact of FDI on Andhra Pradesh Economy has been phenomenal. The state has been going through a developmental spree in the past few years. Hyderabad is a favorite investment destination among foreign investors.
Hyderabad is also globally famed for its splendid Ramoji Film City, the artificially created set of a city for shooting films. Tirupati, the world's richest temple attracts tourist for all over the world. The State government of Andhra Pradesh has been dynamic in attracting major foreign investments for the development of the state.
Impact of FDI on Andhra Pradesh Economy-Overview
- The state is one of the favored destinations among foreign investors.
- The laissez-faire policies and the availability of good infrastructure have helped in attracting investments in agro-food processing, IT, infrastructure and engineering based industries from abroad.
- International big players such as Intel and Volkswagen have set up their production units in the state of Andhra Pradesh.
- The FDI to the state of Andhra Pradesh, in the period 2004-05 was ` 735.02 crores, out of which, ` 676.86 crores was by the means of the automatic route under the Reserve Bank of India and the other ` 58.16 crores was approved through Foreign Investment Promotion Board (FOPB).
- Andhra Pradesh received 1,051 proposals pertaining to FDI, in the year 2005 with the amount of foreign equity of ` 14,439 crores, and around 308 proposals out of the total were accepted with foreign equity of ` 4,215 crores.
- In the year 2006 the FDI inflow to Andhra Pradesh was ` 4,412.80 crores.