14.1 C
Delhi
Thursday, December 12, 2024

India’s FDI journey reaches $1 trillion milestone

India has marked a significant achievement in its economic progress with foreign direct investment (FDI) inflows crossing the $1 trillion mark since April 2000. This milestone comes alongside a notable 26% increase in FDI, reaching $42.1 billion during the first half of the current fiscal year.

From April 2014 to September 2024, India saw $709.84 billion in FDI inflows, which accounted for nearly 69% of the total FDI received over the past 24 years. This underscores India’s growing role in the global economy.

In the World Competitiveness Index 2024, India moved up three positions to 40th place, compared to 43rd in 2021. The country also saw a major leap in the Global Innovation Index 2023, where it ranked 40th out of 132 economies, up from 81st in 2015.

India’s prominence on the global investment map is further underscored by its performance in the World Investment Report 2023, where it ranked as the third-largest recipient of greenfield investments, with 1,008 project announcements. International project finance deals in India rose by 64%, positioning the country as the second-largest recipient globally in this sector.

India has also made substantial improvements in its business environment. According to the World Bank’s Doing Business Report 2020, India climbed from 142nd place in 2014 to 63rd place in just five years.

To further support FDI, the Indian government has introduced several investor-friendly policies. Most sectors are now open to 100% FDI under the automatic route, except for a few strategically important ones. Additionally, recent amendments to the Income Tax Act, 1961 have abolished angel tax and reduced income tax rates on foreign company income, simplifying tax compliance for startups and foreign investors.

from National https://ift.tt/9WgcBKS

Most Popular Articles