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India Receives Highest Ever FDI in April-August FY21

    22 October , 2020         Fdiindia

India Receives Highest Ever FDI in April-August FY21

In April-August 2020, India received the highest ever total Foreign Direct Investment (FDI), the commerce and industry ministry broke this news in a statement on Tuesday.

The total FDI inflow in the first five months into India was close to $35.73 billion, this is approximately 13% higher than the amount that was recorded around the same period last fiscal.

“FDI equity inflow received during FY21 (April to August, 2020) is $27.1 billion. It is also the highest ever for first five months of a financial year,” the ministry said.

This is about 16% higher than what inflows have been witnessed in about the first five months of 2019-20 which were $23.35 billion.

The government said: “Measures taken by the government on the fronts of FDI policy reforms, investment facilitation and ease of doing business have resulted in increased FDI inflows into the country”.

Absolute FDI into India in the primary quarter of 2020-21 plunged by 60% from the year-back period to $6.5 billion, information delivered by the office for advancement of industry and inward exchange (DPIIT) demonstrated a month ago. India's presentation was more awful than the worldwide projections by the United Nations Conference on Trade and Development (UNCTAD).

The organization in March had modified its projections about the effect of flare-up and spread of Covid-19 on worldwide FDI. The multilateral organization expects the descending tension on worldwide FDI to be - 30% to - 40% in FY21, a lot higher than its prior projection of - 5% to - 15% weight.

According to the announcement, the administration's plan is to make the FDI strategy more speculator cordial and eliminate the approach bottlenecks that have been impeding the venture inflows into the nation.

“The steps taken in this direction during the last six years have borne fruit as is evident from the ever increasing volumes of FDI inflows being received into the country,” it said.