Abstract:
Impact of FDI on Gujarat Economy has been positive for it has led to the all round development of the state. Impact of FDI on Gujarat Economy has proved to be beneficial for the various industries in the state have grown, developed and also expanded.
Factors attracting foreign direct investment in Gujarat:
- The state provides extensive network of railways.
- Gujarat has the highest number of airports in the country.
- The state provides excellent network of roads.
- Professional services to the investors are provided in Gujarat.
- The state is highly industrialized.
- Location wise, Gujarat has a strategic location providing easy access to the African, western, and Middle East markets.
- Skilled manpower is abundantly available in Gujarat.
Industries attracting foreign direct investment in Gujarat are:
- Oil and gas
- Infrastructure
- Food processing industries
- Information technology
- Gems and jewelry
- Biotechnology
- Chemicals
- Textiles
Amount of foreign direct investment in Gujarat:
The regional office of Reserve Bank of India in Ahmedabad received US$ 970.3 million as foreign direct investment for the state during January 2000 to December 2006. The total percentage of foreign direct investment that the regional office of Reserve Bank of India in Ahmedabad received came to 3.7% out of the total foreign direct investment in India during this period.
Advantages of foreign direct investment in Gujarat:
Foreign direct investment in Gujarat has led to the growth in trade and exports in the state. FDI inflows in Gujarat have led to rapid development in the industrial sector in this state. With increasing volumes of Foreign Direct Investments (FDI) Gujarat has emerged as one of the most rapidly developing states in India.
FDI Status in States of India
