India Crosses $300b FDI Milestone
India Crosses $300b FDI Milestone

India Crosses $300b FDI Milestone

India Crosses $300b FDI Milestone

India crossed the $300 billion foreign direct investment milestone between April 2000 and September 2016, firmly establishing its credentials as a safe investment destination in the world. 
The 33% of FDI came through the Mauritius route, apparently because the investors wanted to take advantage of India’s double taxation avoidance treaty with the island nation, PTI reported. 
India received $101.76 billion from Mauritius between April 2000 and September 2016. The cumulative FDI inflows during the period amounted to $310.26 billion. 
The inflows in the first half of the current financial year was $21.62 billion, according to data compiled by the Department of Industrial Policy and Promotion. The other big investors have been from Singapore, the US, UK and the Netherlands. 
Commenting on the $300 billion mark, industry bodies FICCI and CII have said that India is perceived as a safe and dynamic destination by global investors.
FICCI said that the liberalization of the FDI policy framework, major national development programs such as Make in India, Digital India and Skill India, besides increasing competitiveness, have made India the preferred choice for investors globally. “We see this trend of increasing inflows further strengthening in the coming years,” FICCI president Harshavardhan Neotia said. 
CII said that FDI flows have increased significantly and consistently in the last two years and the country would continue to remain as one of the most attractive destinations in the foreseeable future. 
“Global investor sentiment is positive about India being a safe investment haven, despite the global economic climate remaining uncertain,” it said. 
India’s services sector topped the table, receiving 18% of the cumulative equity FDI inflows followed by construction development, computer software & hardware, telecommunication and automobile. 
India crossed the $300 billion mark at a time when the global economic slowdown has had a dampening impact on FDI flows which are expected to fall this year. 
According to the World Investment Report 2016, global FDI flows rose by 38% to $1.76 trillion, the highest level since the global economic and financial crisis began in 2008. However, they still remain some 10% short of the 2007 peak. 
“Looking ahead, FDI flows are expected to decline by 10-15% in 2016, reflecting the fragility of the global economy, persistent weakness of aggregate demand, effective policy measures to curb tax inversion deals,” it said. 
The report added that elevated geopolitical risks and regional tensions could further amplify the expected downturn.

Short URL : https://goo.gl/jEyxe6
  1. https://goo.gl/dDr6jE
  • https://goo.gl/M73fKv
  • https://goo.gl/IteIYQ
  • https://goo.gl/nahm0E
  • https://goo.gl/85MIws

You can also read ...

Cambodia’s economic outlook remains positive, but is subject to downside risks.
The IMF Managing Director Christine Lagarde expressed optimism...
More and more Thai merchants are integrating WeChat Pay and Alipay’s systems to cater to tourists.
The internet has changed the way most people live. Through...
More India Bank Frauds Revealed
Over 25,800 fraud cases involving about Rs179 crore ($1.79...
Free trade achieves more good for the planet.
US President Donald Trump’s steel tariffs have brought the...
Qatar Calls to Investigate UAE Bank’s Bogus Deals
Qatar has asked US regulators to investigate the US subsidiary...
EU Readies Tax on US Technological Titans
The European Union will next week unveil plans for a digital...
Morocco Currency Reform on Right Track
Few weeks after the launch of the gradual dirham float, the...
Apparel imports from ASEAN are growing, spurred by low labor costs  in such countries as Vietnam.
Import prices for apparel and daily goods in Japan plunged...

Add new comment

Read our comment policy before posting your viewpoints