FDI inflows surge 18% in 2019-20 to record $74 billion

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(Representative image)
NEW DELHI: India’s FDI inflows, including reinvested earnings, rose 18% to a record $73.5 billion during 2019-20, buoyed by a spurt in inflows into computer hardware & software, telecom, and hotel & tourism, while services, the traditional mainstay, witnessed a decline. Excluding reinvested earnings, inflows were 14% higher at just a shade under $50 billion, which is also an all-time high.

In fact, the large flows acted as a counterweight to low FII inflows during the year, which were estimated at $247 million (on a net basis) during the last financial year. The data naturally led to some celebration in government, given the overall gloomy economic situation and weak domestic investment.

“In another strong vote of confidence in Make in India, total FDI into India grew 18% in 2019-20 to reach $73 billion. Total FDI has doubled from 13-14 when it was only $36 billion. This long-term investment will spur job creation,” commerce and industry minister Piyush Goyal tweeted.