FDI inflow very favourable in India
The budget had welcomed FDI and the results have already started showing up. The foreign direct investment (FDI) flows into India more than doubled to USD 3.60 billion in May. This figure is the highest in the last eight months.
According to the data of Department of Industrial Policy and Promotion, in May 2013, the country had received FDI worth USD 1.63 billion. During April-May this fiscal, the foreign inflows grew by 34 % to USD 5.30 billion as compared to USD 3.95 billion in the same period last year.
Amongst the top 10 sectors, telecommunications received the maximum FDI in May at USD 1.51 billion followed by pharmaceuticals (USD 680 million), services (USD 574 million) and construction (USD 221 million).
During the month, India received maximum FDI from Mauritius at USD 2.28 billion, followed by Singapore (USD 982 million), UK (USD 545 million), Japan (USD 319 million) and the US (USD 154 million).
In 2013-14, the FDI inflows in India were USD 24.29 billion against USD 22.42 billion in 2012-13.
India is looking at overhauling its entire infrastructure and for that it requires around USD 1 trillion in the next five years. This amount will be used to improve the infrastructure in ports, airports and highways which will eventually boost the growth of the nation. This will have a positive impact on the GDP and will be conducive in creating jobs.
Source- The Financial Express
Economy, economy (general), FDI inflows, foreign direct investment, global economic crisis, macroeconomic environment, UNCTAD
