In the first quarter of this fiscal year, India’s total foreign direct investment (FDI), which comprises stock inflows, reinvested earnings, and other capital, increased by 28% to $22.49 billion from $17.56 billion in April–June 2023–2024.
FDI: April had a slight decrease in FDI inflows, coming in at $4.91 billion as opposed to $5.1 billion in April 2023. In the image, a consumer counts Indian rupee notes after making a cash withdrawal from a bank.
Key Point –
FDI inflows into India increased to $16.17 billion in April–June 2025 from $10.94 billion during the same period the previous year, a 47.8% increase.
– Healthy inflows into industries like services, computers, telecom, and pharmaceuticals propelled the expansion.
– In the first quarter of current fiscal year, total foreign direct investment (FDI) increased by 28% to $22.49 billion from $17.56 billion during the same period last year, including equity inflows, reinvested earnings, and other capital.
– Major nations including Mauritius, Singapore, the US, the Netherlands, the UAE, the Cayman Islands, and Cyprus saw an increase in FDI inflows; while, Japan, the UK, and Germany saw a decrease.
-With $8.48 billion in FDI, Maharashtra saw the most influx, followed by Telangana, Gujarat, and Karnataka. However, according to a Moody’s Analytics analysis, supply-chain problems, inflation, and more stringent financing requirements are to blame for the decline in foreign direct investment (FDI) inflows into developing nations like China and India in 2023.
