FDI inflows - Services sector receives maximum
By TIOL News Service
NEW DELHI, MARCH 05, 2020: DETAILED FDI policy on various sectors indicating therein sector-wise Foreign Direct Investment (FDI) limits is provided in ‘Consolidated FDI Policy Circular of 2017', as amended from time to time, through subsequent Press Notes.
The sector-wise and State-wise/Union-Territory-wise details of total FDI inflow in the country is not centrally maintained. However, the financial year wise details of total FDI inflow reported in the country during the last five years is given below:
|
S. No.
|
Financial Year
|
Total FDI Inflow
(amount in US$ million)
|
|
1
|
2014-15
|
45,148
|
|
2
|
2015-16
|
55,559
|
|
3
|
2016-17
|
60,220
|
|
4
|
2017-18 (P)
|
60,974
|
|
5
|
2018-19 (P)
|
62,001
|
| |
Total
|
283,902
|
Source: Reserve Bank of India.
(P): Provisional Data..
FDI policy is an enabling policy which is uniformly applicable in the country. Government has put in place a liberal and transparent policy for Foreign Direct Investment (FDI), wherein most of the sectors are open to FDI under the automatic route. The Government reviews the FDI policy and makes changes from time to time, to ensure that India remains an attractive & investor friendly destination.
Make in India initiative was launched with the objective of facilitating investment, fostering innovation, building good quality manufacturing infrastructure, making it easy to do business and enhancing skill development. The initiative is further aimed at creating a conducive environment for investment, modern and efficient infrastructure, opening up new sectors for foreign investment and forging a partnership between government and industry through positive mindset.
Make in India initiative has been reviewed and is now focusing on 27 sectors under Make in India 2.0. Department for Promotion of Industry and Internal Trade is coordinating action plans for 15 manufacturing sectors while Department of Commerce is coordinating 12 service sectors.
The Government of India is making continuous efforts for Investment facilitation including financial assistance to Invest India and for implementation of Make in India action plans to identify potential investors. Support is being provided to Indian Missions abroad and State Governments for organising events, summits, road-shows and other promotional activities to attract investment in the country under the Make in India banner. Investment outreach activities are being carried out for enhancing international co-operation and promoting FDI in the country.
Details of sectors receiving FDI equity inflow and the countries that have made maximum investment through FDI equity inflow is at Annexure.
STATEMENT ON SECTOR-WISE FDI EQUITY INFLOWS
FROM APRIL 2000 TO DECEMBER 2019
|
S.No
|
Sector
|
Amount of FDI Inflows
|
%age of Total Inflows
|
| |
|
(In Rs crore)
|
(In US$ million)
|
|
|
1
|
SERVICES SECTOR (Fin.,Banking, Insurance, Non Fin/Business, Outsourcing, R&D, Courier,Tech. Testing and Analysis, Other)
|
462,114.07
|
80,670.79
|
17.66
|
|
2
|
COMPUTER SOFTWARE & HARDWARE
|
266,385.18
|
43,586.95
|
9.54
|
|
3
|
TELECOMMUNICATIONS
|
218,047.28
|
37,116.34
|
8.13
|
|
4
|
TRADING
|
168,426.20
|
26,541.60
|
5.81
|
|
5
|
CONSTRUCTION DEVELOPMENT: Townships, housing, built-up infrastructure and construction-development projects
|
121,888.63
|
25,371.47
|
5.55
|
|
6
|
AUTOMOBILE INDUSTRY
|
141,436.94
|
23,892.81
|
5.23
|
|
7
|
CHEMICALS (OTHER THAN FERTILIZERS)
|
97,134.96
|
17,441.95
|
3.82
|
|
8
|
DRUGS & PHARMACEUTICALS
|
87,066.62
|
16,396.56
|
3.59
|
|
9
|
CONSTRUCTION (INFRASTRUCTURE) ACTIVITIES
|
103,388.96
|
16,156.21
|
3.54
|
|
10
|
POWER
|
80,257.38
|
14,652.96
|
3.21
|
|
11
|
HOTEL & TOURISM
|
85,388.44
|
14,426.19
|
3.16
|
|
12
|
MISCELLANEOUS INDUSTRIES
|
60,260.44
|
11,618.93
|
2.54
|
|
13
|
METALLURGICAL INDUSTRIES
|
60,733.28
|
11,458.30
|
2.51
|
|
14
|
FOOD PROCESSING INDUSTRIES
|
60,349.12
|
9,781.00
|
2.14
|
|
15
|
NON-CONVENTIONAL ENERGY
|
56,235.56
|
9,100.76
|
1.99
|
|
16
|
INFORMATION & BROADCASTING (INCLUDING PRINT MEDIA)
|
51,829.62
|
8,713.38
|
1.91
|
|
17
|
ELECTRICAL EQUIPMENTS
|
50,018.69
|
8,506.97
|
1.86
|
|
18
|
PETROLEUM & NATURAL GAS
|
35,372.87
|
7,077.82
|
1.55
|
|
19
|
HOSPITAL & DIAGNOSTIC CENTRES
|
40,420.35
|
6,625.45
|
1.45
|
|
20
|
INDUSTRIAL MACHINERY
|
32,221.57
|
5,568.28
|
1.22
|
|
21
|
CONSULTANCY SERVICES
|
31,555.47
|
5,410.47
|
1.18
|
|
22
|
CEMENT AND GYPSUM PRODUCTS
|
29,322.06
|
5,280.70
|
1.16
|
|
23
|
SEA TRANSPORT
|
25,427.76
|
4,234.28
|
0.93
|
|
24
|
MISCELLANEOUS MECHANICAL & ENGINEERING INDUSTRIES
|
18,993.32
|
3,631.53
|
0.80
|
|
25
|
TEXTILES (INCLUDING DYED,PRINTED)
|
20,091.59
|
3,412.21
|
0.75
|
|
26
|
EDUCATION
|
19,016.02
|
3,005.06
|
0.66
|
|
27
|
RUBBER GOODS
|
17,901.21
|
3,002.74
|
0.66
|
|
28
|
FERMENTATION INDUSTRIES
|
15,759.08
|
2,794.97
|
0.61
|
|
29
|
MINING
|
15,076.29
|
2,655.48
|
0.58
|
|
30
|
ELECTRONICS
|
14,747.40
|
2,588.69
|
0.57
|
|
31
|
PRIME MOVER (OTHER THAN ELECTRICAL GENERATORS)
|
12,986.76
|
2,207.42
|
0.48
|
|
32
|
AGRICULTURE SERVICES
|
11,373.17
|
2,153.99
|
0.47
|
|
33
|
AIR TRANSPORT (INCLUDING AIR FREIGHT)
|
12,509.85
|
2,025.42
|
0.44
|
|
34
|
RETAIL TRADING
|
13,261.82
|
2,001.59
|
0.44
|
|
35
|
MEDICAL AND SURGICAL APPLIANCES
|
11,279.10
|
1,881.47
|
0.41
|
|
36
|
PORTS
|
6,730.91
|
1,637.30
|
0.36
|
|
37
|
SOAPS, COSMETICS & TOILET PREPARATIONS
|
9,363.65
|
1,589.52
|
0.35
|
|
38
|
PRINTING OF BOOKS (INCLUDING LITHO PRINTING INDUSTRY)
|
9,789.39
|
1,537.90
|
0.34
|
|
39
|
PAPER AND PULP (INCLUDING PAPER PRODUCTS)
|
7,889.62
|
1,449.63
|
0.32
|
|
40
|
DIAMOND,GOLD ORNAMENTS
|
6,817.75
|
1,172.94
|
0.26
|
|
41
|
RAILWAY RELATED COMPONENTS
|
6,353.58
|
1,070.93
|
0.23
|
|
42
|
MACHINE TOOLS
|
5,302.77
|
978.83
|
0.21
|
|
43
|
VEGETABLE OILS AND VANASPATI
|
5,805.00
|
977.98
|
0.21
|
|
44
|
CERAMICS
|
4,470.59
|
870.94
|
0.19
|
|
45
|
FERTILIZERS
|
3,908.51
|
687.87
|
0.15
|
|
46
|
GLASS
|
3,826.08
|
680.04
|
0.15
|
|
47
|
AGRICULTURAL MACHINERY
|
3,118.45
|
558.90
|
0.12
|
|
48
|
EARTH-MOVING MACHINERY
|
2,654.87
|
463.28
|
0.10
|
|
49
|
COMMERCIAL, OFFICE & HOUSEHOLD EQUIPMENTS
|
2,046.51
|
388.57
|
0.09
|
|
50
|
SCIENTIFIC INSTRUMENTS
|
1,690.61
|
280.14
|
0.06
|
|
51
|
BOILERS AND STEAM GENERATING PLANTS
|
1,624.24
|
263.37
|
0.06
|
|
52
|
SUGAR
|
1,279.47
|
213.83
|
0.05
|
|
53
|
LEATHER,LEATHER GOODS AND PICKERS
|
1,118.59
|
200.42
|
0.04
|
|
54
|
TIMBER PRODUCTS
|
1,074.35
|
182.39
|
0.04
|
|
55
|
TEA AND COFFEE (PROCESSING & WAREHOUSING COFFEE & RUBBER)
|
774.38
|
149.62
|
0.03
|
|
56
|
GLUE AND GELATIN
|
945.36
|
147.63
|
0.03
|
|
57
|
DYE-STUFFS
|
541.21
|
92.73
|
0.02
|
|
58
|
INDUSTRIAL INSTRUMENTS
|
452.29
|
88.23
|
0.02
|
|
59
|
PHOTOGRAPHIC RAW FILM AND PAPER
|
273.76
|
67.29
|
0.01
|
|
60
|
COAL PRODUCTION
|
119.19
|
27.73
|
0.01
|
|
61
|
DEFENCE INDUSTRIES
|
51.93
|
8.82
|
0.00
|
|
62
|
MATHEMATICAL,SURVEYING AND DRAWING INSTRUMENTS
|
39.80
|
7.98
|
0.00
|
|
63
|
COIR
|
22.05
|
4.07
|
0.00
|
| |
Grand Total
|
2,636,361.99
|
456,789.66
|
|
STATEMENT ON MAJOR COUNTRY-WISE FDI EQUITY INFLOWS
FROM APRIL 2000 TO DECEMBER 2019
|
S.No
|
Name of the Country
|
Amount of Foreign Direct Investment Inflows
|
%age with Inflows
|
| |
|
(In Rs crore)
|
(In US$ million)
|
|
|
1
|
Mauritius
|
790,280.98
|
141,924.93
|
31.07
|
|
2
|
Singapore
|
587,820.17
|
94,650.84
|
20.72
|
|
3
|
Japan
|
193,069.72
|
33,080.56
|
7.24
|
|
4
|
Netherland
|
186,963.20
|
30,883.80
|
6.76
|
|
5
|
U.S.A
|
165,967.16
|
28,349.29
|
6.21
|
|
6
|
United Kingdom
|
148,437.69
|
27,936.96
|
6.12
|
|
7
|
Germany
|
68,050.40
|
12,073.77
|
2.64
|
|
8
|
Cyprus
|
53,230.40
|
10,107.26
|
2.21
|
|
9
|
France
|
40,038.02
|
7,102.38
|
1.55
|
|
10
|
UAE
|
41,168.87
|
6,916.19
|
1.51
|
|
11
|
Cayman Islands
|
39,849.46
|
6,167.97
|
1.35
|
|
12
|
Switzerland
|
26,997.61
|
4,808.34
|
1.05
|
|
13
|
South Korea
|
27,341.64
|
4,412.33
|
0.97
|
|
14
|
HongKong
|
25,882.12
|
4,224.39
|
0.92
|
|
15
|
Luxembourg
|
18,818.37
|
3,023.09
|
0.66
|
|
16
|
Spain
|
16,291.26
|
2,916.80
|
0.64
|
|
17
|
Italy
|
16,634.06
|
2,907.25
|
0.64
|
|
18
|
China
|
14,846.01
|
2,342.03
|
0.51
|
|
19
|
Belgium
|
11,975.72
|
1,952.83
|
0.43
|
|
20
|
Canada
|
11,932.38
|
1,931.63
|
0.42
|
This information was given by the Minister of Commerce and Industry, Mr Piyush Goyal, in a written reply in the Lok Sabha Yesterday.
|
