The commerce and industry ministry in its latest data has said that Foreign direct investment (FDI) in India grew 40 percent to $51.47 billion during April-December 2020-21 as against $36.77 billion in the same period of 2019-20. Besides, it said the country has attracted 22 percent higher FDI (including re-invested earnings) of $67.54 billion during the first nine months of the current fiscal as against $55.14 billion in the year ago period.
As per to the data, the inflows increased by 37 percent in the third quarter (October-December 2020) of 2020-21 to $26.16 billion. In December, FDI surged 24 percent to USD 9.22 billion. The ministry has stated that the 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.
It further said the foreign inflows are a major driver of economic growth and an important source of non-debt finance for the economic development of India. It noted that the steps taken in this direction during the last six and a half years have borne fruit, as is evident from the ever-increasing volumes of FDI inflows being received into the country. Continuing on the path of FDI liberalization and simplification, government has carried out FDI reforms across various sectors.