Govt Trumpets $1 trillion FDI Inflow in 20-yr on Trump Trail
Union Minister for Commerce Piyush Goyal with EU delegation. Image credit X.com @PiyushGoyal
FDI Soars with Sharp jump in 6-month in Current Fiscal, says Govt
By Raisina Correspondent
New Delhi, December 12: India achieved $1 trillion inflow in foreign direct investment in the last two decades, the government said on Thursday. The Ministry of Commerce stated that the FDI inflow jumped by 26 per cent in the first six months of the current fiscal.
The government’s assertions on robust FDI inflows came ahead of the inauguration of the Donald Trump presidency early next month. Trump has been raising the rhetoric for protectionism with threats to slap tariff on major exporting nations.
“India has achieved a remarkable milestone in its economic journey, with gross foreign direct investment (FDI) inflows reaching an impressive $1 trillion since April 2000,” the Ministry of Commerce said in a media statement.
The ministry stated that the “landmark achievement was bolstered by a nearly 26% rise in FDI to $42.1 billion during the first half of the current fiscal year”. “Such growth reflects India’s growing appeal as a global investment destination, driven by a proactive policy framework, a dynamic business environment, and increasing international competitiveness,” added the Ministry.
The robust growth in the FDI inflow has come amid fluid geostrategic situations with regional wars taking place across geographies. “FDI has played a transformative role in India’s development by providing substantial non-debt financial resources, fostering technology transfers, and creating employment opportunities,” added the Ministry.
It also stated that “initiatives like ‘Make in India’, liberalised sectoral policies, and the Goods and Services Tax (GST) have enhanced investor confidence, while competitive labour costs and strategic incentives continue to attract multinational corporations”.
“Over the last decade (April 2014 to September 2024), total FDI inflows amounted to $709.84 billion, accounting for 68.69 per cent of the overall FDI inflow in the past 24 years. This robust inflow of investments underscores India’s pivotal role in shaping the global economic landscape,” added the Ministry.
It also stated that “India’s remarkable progress in attracting foreign direct investment is evident from the $42.1 billion inflows during the first half of the current fiscal year and the cumulative $1 trillion since April 2000”. “Factors like improved global competitiveness, a dynamic innovation ecosystem, and a business-friendly environment have been key drivers,” added the ministry.
The ministry also said that “as India continues to align with global economic trends, it is well-positioned to further strengthen its role on the global stage, fostering sustainable growth and development”.
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