More FDI investments in the current fiscal for India
Post the Modinomics wave, the foreign investors are showing a lot of confidence in the Indian markets. Foreign direct investment (FDI) flows to India surged by about 34 % to $ 1.92 billion in June. This was published in an official data prepared by the Department of Industrial Policy and Promotion. In June 2013, the country had received FDI worth $ 1.44 billion. During April-June in this fiscal, the foreign inflows recorded a growth of 34 %.
FDI was at $ 7.23 billion in April-June, 2014-15 compared to $ 5.39 billion in April-June 2013-14. Amongst the top 10 sectors, telecommunications received the maximum FDI in the first quarter of the current fiscal at $ 2 billion followed by services ($ 738 million), pharmaceuticals ($ 680 million) and construction ($ 281 million).
During the period, India received maximum FDI from Mauritius at USD 2.61 billion, followed by Singapore (USD 1.18 billion), the UK (USD 567 million), Japan (USD 695 million) and the US (USD 249 million).
In 2013-14, FDI inflows in India were USD 24.29 billion against USD 22.42 billion in 2012-13. India requires around USD 1 trillion in the next five years to do a complete makeover for its infrastructure sector, including ports, airports and highways to boost growth.
The government is taking more steps to boost FDI in the country. It has raised the foreign investment limit to 49 % in the defence manufacturing and relaxed the policy in the construction sector. The government has also proposed to increase the FDI cap in insurance to 49 %.
Source- Financial Chronicle
defence, Department of Industrial Policy and Promotion, FDI inflows in India, foreign direct investment, foreign investment limit to 49 %
