India records highest-ever FDI inflow of $83.57 bn in 2021-22
Record growth has been registered in FDI in FY 2021-22. The Ministry of Commerce and Industry said on Friday that India achieved foreign direct investment (FDI) of USD 83.57 billion in the financial year 2021-22, the highest in any financial year so far. India is fast emerging as a favorite investment destination among investors. Earlier, in the financial year 2020-21, US $ 81.97 billion foreign investment came to India.
The Commerce Ministry said, India is fast emerging as a preferred country for foreign investment in the manufacturing sector. FDI equity inflows in the manufacturing sector stood at $21.34 billion in 2021-22, an increase of 76 per cent as compared to $12.09 billion in 2020-21. Singapore ranks first in terms of major investor countries investing in India with 27 percent. In second place was the US, which invested 18 percent, and Mauritius with 16 percent was third with 16 percent.
According to the ministry, the country has witnessed maximum foreign investment in computer software and hardware sector. It is followed by the service sector and the automobile industry. In the financial year 2021-22, the highest FDI under computer software and hardware sector came in Karnataka at 53 per cent, Delhi at 17 per cent, and Maharashtra also at 17 per cent.
The highest FDI receiving state during the financial year 2021-22 is Karnataka with 38% FDI. It is followed by Maharashtra with 26 per cent and Delhi with 14 per cent. India’s FDI inflows have increased 20 times from the financial year 2003-04 to 2021-22. It was US$ 4.3 billion in the financial year 2003-04. FDI inflows into India in 2014-2015 were only US$ 45.15 billion.