FDI Inflows grow 62% during first four months of current FY

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Measures taken by the Government on the fronts of FDI policy reforms, investment facilitation and ease of doing business have resulted in increased FDI inflows into the country. The following trends in India’s Foreign Direct Investment are an endorsement of its status as a preferred investment destination amongst global investors:

  • India has attracted total FDI inflow of US$ 27.37 billion during first four months of F.Y. 2021-22 which is 62% higher as compared to corresponding period of F.Y. 2020-21 (US$ 16.92 billion).
  • FDI equity inflow grew by 112% in the first four months of F.Y. 2021-22 (US$ 20.42 billion) compared to the year ago period (US$ 9.61 billion).
  • ‘Automobile Industry’ has emerged as the top sector during the first four months of F.Y. 2021-22 with 23% share of the total FDI Equity inflow followed by Computer Software & Hardware (18%) and Services Sector (10%) respectively.
  • Under the sector `Automobile Industry’, majority of FDI Equity inflow (87%) was reported in the state of Karnataka during the first four months of the current financial year (2021-22).
  • Karnataka is the top recipient state during the F.Y. 2021-22 (upto July, 2021) with 45% share of the total FDI Equity inflows followed by Maharashtra (23%) and Delhi (12%).