India crossed the $300 billion (approx Rs 20.4 lakh crore) foreign direct investment (FDI) milestone between April 2000 and September 2016, firmly establishing its credentials as a safe investment destination in the world.
Thirty three per cent of the 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.
India received $101.76 (approx Rs 6.9 lakh crore) billion from Mauritius between April 2000 and September 2016. The cumulative FDI inflows during the period amounted to $310.26 billion (apprx Rs 21.1 lakh crore).
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 liberalisation of the FDI policy framework, major national development programmes 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.
(With PTI inputs)
