New Delhi: India has recorded the highest ever annual FDI inflow of USD 83.57 billion in the Financial Year 2021-22. In 2014-2015, FDI inflow in India stood at mere 45.15 USD billion as compared to the highest ever annual FDI inflow of USD 83.57 billion reported during the financial year 2021-22 overtaking the last year’s FDI by USD 1.60 billion despite military operation in Ukraine and Covid-19 pandemic.

In a statement, the Union Ministry of Commerce and Industry said that India’s FDI inflows have increased 20-fold since FY03-04, when the inflows were USD 4.3 billion only. Further, India is rapidly emerging as a preferred country for foreign investments in the manufacturing sector. FDI equity inflow in manufacturing sectors have increased by 76 per cent in FY 2021-22 (USD 21.34 billion) as compared to previous FY 2020-21 (USD 12.09 billion).

It may be noted that FDI inflow has increased by 23 per cent post-Covid (March, 2020 to March 2022: USD 171.84 billion) in comparison to FDI inflow reported pre-Covid (February, 2018 to February, 2020: USD 141.10 billion) in India. In terms of top investor countries of FDI Equity inflow, Singapore is at the apex with 27 per cent, followed by USA (18 pc) and Mauritius (16 pc) for the FY 2021-22.

The Ministry said that steps taken by the government during the last eight years have borne fruit as is evident from the ever-increasing volumes of FDI inflow being received into the country, setting new records. The government reviews the FDI policy on an ongoing basis and makes significant changes from time to time, to ensure that India remains an attractive and investor friendly destination. The government has put in place a liberal and transparent policy for FDI, wherein most of the sectors are open to FDI under the automatic route, said the Ministry. /BI/