Effects of FDI Inflows in India: Growth Perspective

What is it about?

This paper is an attempt to present the effects of FDI inflow during 2000-2017. This study starts with identifying the factors responsible for the growth in FDI inflow in India, analyses the trend, major sources and attractive sectors of FDI inflow. In this study, the descriptive analysis has been applied for the purpose. The findings reveal that the trend is full of ups and downs due to world economic reasons. The responsible factors include the availability of large market, demand, qualitative labour force, tax incentives. Mauritius, Singapore and Japan are the major contributors of FDI inflow. Further, service sector, telecommunication, computer software and hardware and construction development were the major sectors attracting FDI inflows during the period of study.

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Why is it important?

FDI; India; Sources of FDI; Growth perspective; Market size; Low cost labour force; Mauritius; Service sector.