The Ministry of Commerce and Industry has announced that the Foreign Direct Investment (FDI) inflow have witnessed a year-on-year growth of 62 per cent in the first four months of the current financial year 2021-22. The ministry said that the measures taken by the Government on the FDI policy reforms, investment facilitation and ease of doing business have resulted in an increase in FDI inflow into the country.
According to ministry data, India has attracted a total FDI inflow of $27.37 billion during the first four months of FY 2021-22, which is 62 per cent higher than the corresponding period of FY 2020-21, where it was $16.92 billion.
During the same period, FDI equity inflow grew 112 per cent to $20.42 billion in the first four months of FY 2021-22 from $9.61 billion in the year-ago period.
The automobile industry emerged as the top sector during the first four months of FY22, accounting for 23 per cent of the total FDI equity inflow, followed by computer software and hardware at 18 per cent and the services sector at 10 per cent.
Karnataka is the top recipient state during FY 2021-22 till July 2021, accounting for 45 per cent of the total FDI equity inflow, followed by Maharashtra at 23 per cent and Delhi at 12 per cent.
“The following trends in India’s FDI are an endorsement of its status as a preferred investment destination amongst global investors,” the ministry said.