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How Does Foreign Direct Investment Help Indian Economy?

How Does Foreign Direct Investment Help Indian Economy?

Foreign direct investment is a crucial driving force of economic growth and development of the country. It plays a significant role where domestic savings are not sufficient to generate funds for capital investments. Yes, FDI supplements the investment requirements of an economy, but it does more than that. Foreign investment also brings with it new technology, expertise, knowledge, and adds to foreign exchange reserves. Foreign investment equity inflows are particularly valuable to developing economies, as compared to the developed economies….

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