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Concern on FDI front, a huge decrease in foreign investment in March quarter, reduced to so many billion dollars

by Aaryan Srivastav
May 27, 2025
Concern on FDI front, a huge decrease in foreign investment in March quarter, reduced to so many billion dollars

Photo: File foreign investment

There is no good news for the Indian economy. In fact, FDI in the country declined by 24.5 percent to $ 9.34 billion on an annual basis in the January-March quarter of FY 2024-25. This information was given in the official data released on Tuesday. However, during the entire financial year (2024–25), the flow of FDI in the country increased by 13 percent to $ 50 billion. It was $ 44.42 billion in FY 2023-24. According to official data, FDI flowed at $ 9.34 billion in the March quarter, which is less than $ 12.38 billion FDI during January-March 2023-24.

Due to this, there was a decline in foreign investment

The FDI flow declined by 5.6 percent to $ 10.9 billion on an annual basis due to global economic uncertainties in the October-December quarter of the last financial year. The total FDI increased by 14 percent to $ 81.04 billion during FY 2024-25. This is the highest in the last three years. It stood at $ 71.3 billion in FY 2023-24. Total FDIs include equity flow, re -inmitted income and other capital.

Big impact for foreign investors

Recently, the consulting company Deloitte said in its report that India’s Liberal Foreign Direct Investment (FDI) policy provides investment opportunities for global investors, which want to invest in its vast and expanded economy. According to Deloitte, areas such as pharmaceuticals, vehicles and tourism are not only the center of attraction for FDI, but also the engines of employment, export and innovation, which are speeding up the next wave of India’s growth. India has made significant progress by allowing 100 percent foreign direct investment under automatic sanctioned routes in most areas, including major areas such as insurance, insurance mediator, tourism manufacturing, hospital and medical equipment.

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