An Analytical Study about India’s Foreign Direct Investment

T Venkatesan; K Jeyakodi

T Venkatesan Associate Professor, PG & Research Department of Commerce, Vivekananda College, Tiruvedakam West, Madurai District, TamilNadu, India
K Jeyakodi Associate Professor, PG & Research Department of Commerce, Saraswathi Narayanan College, Madurai

Keywords: FDI, FDI inflows, FDI outflows, Growth, International Finance

Abstract

The full form of FDI is Foreign Direct Investment. FDI means “cross border investment made by a resident in one economy in an enterprise in another economy, with the object of establishing a lasting interest in the investee economy. It helps in transferring of financial resources, technology and innovative and improved management techniques along with raising productivity. The paper tries to study the need of FDI in India, to exhibit the sector-wise & year-wise analysis of FDI’s in India, to rank the sectors based upon highest FDI inflows. The results show that Mauritius is the country that has invested highly in India followed by Singapore, UK., Japan, and USA and so on. It also shows that there has been a tremendous increase in FDI inflow in India during the year 2000 to 2013.