Blitz Bureau
NEW DELHI: Total FDI inflows into India over the last decade (April 2014 to September 2024) amounted to $709.84 billion, accounting for 68.69 per cent of the overall FDI inflow in the past 24 years which crossed the $1 trillion mark, according to the Commerce and Industry Ministry’s year-end review released on December 12.
“This landmark achievement was bolstered by a nearly 26 per cent rise in FDI to $42.1 billion during the first half of the current fiscal year,” the review stated. Such growth reflects India’s increasing appeal as a global investment destination, driven by a proactive policy framework, a dynamic business environment, and increasing international competitiveness, the statement said.
FDI has played a transformative role in India’s development by providing substantial non-debt financial resources, fostering technology transfers, and creating employment opportunities.
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.
India’s remarkable achievement in attracting FDI can be attributed to a range of contributing factors, according to the Ministry.
Factors like improved global competitiveness, a dynamic innovation ecosystem, and a business-friendly environment have been key drivers.
Initiatives such as ‘Make in India,’ liberalisation of sectoral policies, and recent policy changes, including greater FDI in the space sector, reflect the country’s proactive approach. 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.
India’s ranking in the World Competitive Index 2024 jumped three positions to 40th, from 43rd in 2021.
Additionally, India was named as the 48th most innovative country among the top 50 nations, securing the 40th position out of 132 economies in the Global Innovation Index 2023, a significant improvement from its 81st position in 2015.