India ranked in list of Top FDI Destinations (Download PDF)

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As usual India has maintained its rank in the top list of favourite destination for FDI even with tax related concerns remain as a deterrent for the foreign investors as the recently released World Investment Report 2017 of UNCTAD.

World Investment Report

  • US, China and India are the most favourite destinations for FDI as of world Investment report.
  • According to the report FDI influx into a developing Asia has been reduced to the 15 % to USD 443 billion in 2016 and the decline was starts from 2012.
  • Three sub regions of Asia have been inflated more by decline expect South Asia.
  • According to the report as economy of ASEAN is an improved economy of China and India are also expected to improve because investor’s get more confidence which increasing prospects of region of 2017.
  • China, India and Indonesia the major beneficiary of Asia have changed their policies to attract FDI.
  • As an assumption inflows of FDI may be boost up in 2017.
  • Inflows of FDI are increased by 6 % from USD 54 billion and outflows declined by 29 % to USD 6 billion.
  • FDI inflows into India stay static at USD 44 billion but outward to the foreign from India has declined by one third.
  • Cross border merger and acquisition deals are the best way for foreign multinational enterprises to raid into the rapidly-growing Indian market.
  • According to the report, tax treaty with Mauritius has helped a lot to decline in instances of round tripping of FDI.
  • China becomes the second largest investor of FDI in the world.
  • BRICS grouping (Brazil, the Russian Federation, India, China and South Asia) receives 11 % of the global FDI inflows which have 22 % of the global GDP.

About FDI

  • A foreign direct investment (FDI) is a regulatory ownership in a business initiative in one country by an entity based in another country.
  • FDI is the investment which may be made moreover “inorganically” by buying a company in the target country or “organically” by expanding operations of an existing business in that country.

- Published/Last Modified on: June 14, 2017

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