India acquired overseas direct funding (FDI) inflows value USD 81.04 billion (provisional) within the monetary yr 2024–25, reflecting a 14% enhance from USD 71.28 billion within the earlier yr, the Ministry of Commerce & Trade stated on Tuesday. The ministry attributed the expansion to an “investor-friendly” FDI coverage that continues to be reviewed to make sure competitiveness and attractiveness.
In line with the assertion, the companies sector emerged as the highest recipient of FDI fairness in FY 2024–25, accounting for 19% of whole inflows. The sector acquired USD 9.35 billion, a 40.77% rise from USD 6.64 billion in FY 2023–24. It was adopted by the pc software program and {hardware} sector at 16%, and buying and selling at 8%.
India’s manufacturing FDI additionally confirmed sturdy momentum, rising 18% to USD 19.04 billion in FY 2024–25, in comparison with USD 16.12 billion within the prior yr.
Amongst Indian states, Maharashtra attracted the very best share of FDI fairness inflows at 39%, adopted by Karnataka (13%) and Delhi (12%). On the supply nation entrance, Singapore contributed 30% of whole FDI inflows, adopted by Mauritius at 17% and america at 11%.
Cumulatively, India attracted USD 748.78 billion in FDI over the previous eleven monetary years (2014–25), marking a 143% enhance over the USD 308.38 billion acquired throughout the earlier eleven years (2003–14). This accounts for almost 70% of the USD 1,072.36 billion FDI acquired by India up to now 25 years.
The variety of FDI supply nations additionally rose from 89 in FY 2013–14 to 112 in FY 2024–25, highlighting India’s rising world enchantment as an funding vacation spot.
When it comes to regulatory reform, India liberalized FDI norms throughout key sectors in recent times. Between 2014 and 2019, FDI caps had been elevated in defence, insurance coverage, and pensions, whereas civil aviation, development, and single-brand retail had been opened up. Between 2019 and 2024, 100% FDI beneath the automated route was allowed in coal mining, contract manufacturing, and insurance coverage intermediaries.
In 2025, the Union Funds proposed elevating the FDI restrict from 74% to 100% for insurance coverage corporations that make investments all their premiums domestically.
“These tendencies reaffirm India’s place as a most popular world funding hub,” the ministry stated, citing continued coverage reforms, an evolving enterprise ecosystem, and rising world investor confidence.
