FDI jumps 37% to $10.4 bn during April-June this year
The Dollar Business Bureau
Foreign direct investment (FDI) into India surged by 37% to $10.4 billion during the April-June quarter of current financial year, Department of Industrial Policy and Promotion (DIPP) said on Monday.
According to the DIPP data, India had received FDI amounting to $7.59 billion during the first quarter of 2016-17.
The key sectors which attracted the maximum inflow of foreign investments include services, trading, telecom, automobile and computer software and hardware.
The countries from where the bulk of FDI came into India are Japan, Mauritius, the Netherlands and Singapore.
The Government has announced various measures for attracting foreign inflows that include improvement in business climate and liberalisation of FDI policy.
FDI is considered vital for India as it needs about $1 trillion to overhaul its infrastructure in the sectors such as ports, highways and airports in order to boost growth.
A strong foreign investment inflow will help in improving the situation of balance of payments of the country and make the rupee stronger against other currencies, particularly the US dollar.
The inflow of FDI equity in the manufacturing sector rose by 31% to $4.19 billion during period April-June in the current fiscal, the DIPP stated through its ‘Make in India’ twitter handle.
FDI equity inflow in the sectors such as leather, glass, sugar, cement & gypsum products, air transport, sea transport, mining, construction development and medical & surgical appliances witnessed a five-fold increase during the given quarter.
Since the launch of Make in India scheme in October 2014, foreign investment inflows surged 64% to $110.12 billion, it added.