Type to search

India Attracts $22.5 Billion in Foreign Direct Investment in April-June 2021

The automobile sector saw 27% of the total FDI inflow, followed by the computer and service sectors – and more tech giants appear to have spending plans

An Indian Rupee note is seen in this 2017 photo by Thomas White, for Reuters.

 

India attracted foreign direct investment (FDI) inflows of $22.53 billion during the first three months of the fiscal year starting on April 1, 90% higher than the April-June period last year, the government said on Saturday.

India‘s automobile industry accounted for 27% of the total FDI equity inflow, emerging as the brightest sector in Asia’s third-largest economy, followed by computer software and hardware and the services sectors which accounted for 17% and 11% of the inflows respectively, the trade ministry said in a statement.

“Measures taken by the Government on the fronts of FDI policy reforms, investment facilitation and ease of doing business have resulted in increased FDI inflows into the country,” the statement said.

Prime Minister Narendra Modi’s administration has cut corporate tax rates to woo manufacturers and revive private investment, introduced new farm laws and passed labour reforms aimed at making hiring and firing workers easier.

The news comes amid reports that Google is in talks to make large investments in India‘s Bharti Airtel and Tesla is in talks with three Indian companies for parts supplies.

 

• Reuters and Jim Pollard

 

ALSO SEE:

Barclays Pumps $400m Into India in Largest Capital Infusion in Three Decades

SoftBank-Backed Indian Insurance Platform Policybazaar Files for $809m IPO

Jim Pollard

Jim Pollard is an Australian journalist based in Thailand since 1999. He worked for News Ltd papers in Sydney, Perth, London and Melbourne before travelling through SE Asia in the late 90s. He was a senior editor at The Nation for 17+ years and has a family in Bangkok.

AF China Bond