- NEW DELHI — India's
FDI inflows increased to $81.04 billion in FY 2024-25, marking a 14 per cent
increase from $71.28 billion in FY 2023–24, according to a statement issued by
the Ministry of Commerce and Industry on Tuesday.
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- There has been a steady rise in the annual flow of FDI into
the country over the last 11 years, from $36.05 billion in FY 2013-14, due to
the investor-friendly policy, under which most sectors are open for 100 per
cent FDI through the automatic route, the statement said.
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- The services sector emerged as the top recipient of FDI
equity in FY 2024–25, attracting 19 per cent of total inflows, followed by
computer software and hardware (16 per cent), and trading (8 per cent). FDI
into the services sector rose by 40.77 per cent to $9.35 billion from $6.64
billion in the previous year.
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- India is also becoming a hub for manufacturing FDI, which
grew by 18 per cent in FY 2024–25, reaching $19.04 billion compared to $16.12
billion in FY 2023–24.
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- Maharashtra accounted for the highest share (39 per cent) of
total FDI equity inflows in FY 2024–25, followed by Karnataka (13 per cent) and
Delhi (12 per cent).
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- Among source countries, Singapore led with a 30 per cent
share, followed by Mauritius (17 per cent) and the United States (11 per cent).
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- Over the last eleven financial years (2014–25), India
attracted FDI worth $748.78 billion, reflecting a 143 per cent increase over
the previous eleven years (2003–14), which saw $308.38 billion in inflows. This
constitutes nearly 70 per cent of the total $1,072.36 billion in FDI received
over the past 25 years.
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- Additionally, the number of source countries for FDI
increased from 89 in FY 2013–14 to 112 in FY 2024–25, underscoring India's
growing global appeal as an investment destination.
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- In the regulatory domain, the government has undertaken
transformative reforms across multiple sectors to liberalise FDI norms. Between
2014 and 2019, significant reforms included increased FDI caps in defence,
insurance, and pension sectors, and liberalised policies for construction,
civil aviation, and single-brand retail trading, the statement said.
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- From 2019 to 2024, notable measures included allowing 100
per cent FDI under the automatic route in coal mining, contract manufacturing,
and insurance intermediaries. In 2025, the Union Budget proposed increasing the
FDI limit from 74 per cent to 100 per cent for companies investing their entire
premium within India, the statement added.