35354183 FDI and Its Impact on India

7/31/2019 35354183 FDI and Its Impact on India

1/21

ECON OMICS II Fin al P r ojectRe port

Foreign Direct Investment and Its Impact on India

Submittedto

Prof. SanjaySingh

Submitted By

S ection BSarin (PGP25090)Shivkumar(PGP25099) Shreyas(PGP25100) Soumen(PGP25101) Souvick(PGP25102)


2/21

T A B L E O F C O N T E N T S

1. FDI in India................................................................................................................................................................... 3

1.1. What is foreign investment?...................................................................................................................... 3

1.2. Entry Options for ForeignInvestors ...................................................................................................... 3

1.3. What is the difference between FDI and FII?.................................................................................... 3

1.4. Different TYPES of FDI in India:............................................................................................................... 4

1.5. Current inflows for FDI in India............................................................................................................... 4

1.6. Country contribution List of FDI inIndia ............................................................................................ 4

2. Relationship of Foreign Investment with Macro EconomicFactors ............................................. 5

2.1. Foreign investment and GDP of india................................................................................................... 5

2.2. FDI and Indian Currency.............................................................................................................................. 5

2.3. Foreign investment and employment growth................................................................................. 5

2.4. FDI and INFLATION(WPI) ........................................................................................................................... 5

2.5. Foreign Investment And IIP....................................................................................................................... 5

3. Time Series Analysis of Foreign investment and FDI in India......................................................... 6

4. Political footprints on FDI in India.................................................................................................................. 6

5. How does government attracts and monitors FDI?............................................................................... 7

6. What determines the FDI in the economy?................................................................................................ 8

7. Annexure.................................................................................................................................................................... 10


3/21

1 . F D I I N I N D I A

1 . 1 . W H A T I S F O R E I G N I N VE S T M E N T ?

Any investment flowing from one country to another country is foreigninvestment. The management of a business enterprise in a foreign countryis foreign investment.

Indian Government classifies foreign investment in the following form: Foreign direct investment (FDI)

Foreign institutional investment (FII) Non-resident Indian (NRI) investment

1 . 2 . E N T R Y O P T I O N S F O R F O R E I G N I N V E S T O R S

A foreign company planning to set up business operations in India hasthe following options:

Incorporate a company under the Companies Act, 1956through: Joint Venture orWholly owned Subsidiary

Foreign equity in such Indian companies can be up to 100%depending on the requirements of the investor, subject to equity capsin respect of the sector/area of activities under the FDI policy.

Enter as a Foreign Company through:o Liaison Office/Representative Officeo Project Officeo Branch Office

Such offices can undertake activities permitted under the

Foreign Exchange Management Regulations, 2000 (Establishment inIndia of branch or office of other place of business).

1 . 3 . W H A T I S T H E D I F F E R E N C E B E T WE E N F D I A N D F I I ?

Foreign direct investment (FDI) is defined as "investment made toacquire lasting interest in enterprises operating outside of theeconomy of the investor."The FDI relationship consists of a parent

enterprise and a foreign affiliate which together form a Multinationalcorporation (MNC). In order to qualify as FDI the investment must affordthe parent enterprise control over its foreign affiliate. The UN definescontrol in this case as owning 10% or more of the ordinary shares or votingpower of an incorporated firm or its equivalent for an unincorporated firm;lower ownership shares are known as


4/21

portfolio investment. The definition of FDI originally meant that theinvesting corporation gained a significant number of shares (10 percentor more) of the new venture. In recent years, however, companies havebeen able to make a foreign direct investment that is actually long-term management control as opposed to direct investment inbuildings and equipment.FDI growth has been a key factor in the international nature of businessthat many are familiar with in the 21st century. This growth has beenfacilitated by changes in regulations both in the originating countryand in the country where the new installation is to be built.

FII generally means portfolio investment by foreign institutions in a marketwhich is not their home country. These institutions are generallyMutual Funds, Investment Companies, Pension Funds, and InsuranceHouses. Their investments are in the stock market whereas FDI is

generally a long term commitment to a particular company in a sector interms of equity investment by some foreign entity. FII funding is aparamount maker of stock markets and there selling or buying moves thestock in a day. FDI have long term commitment and hence we see flight of capital in terms of FII outflows but not generally in FDIs.

1. 4 . DI F F E R E N T T Y P E S O F FDI I N I N D I A :

Foreign direct investment (FDI) is permitted in India as under the following

form: Financial collaborations Joint ventures and technical collaborations Capital markets via Euro issues Private placements or preferential allotments

1. 5 . C U R R E N T I N F L O W S F O R F DI I N I N DI A

CUMULATIVE FDI EQUITY INFLOWS

Rs Crores US$ MillionCumulative FDI inflows (From April 2000 toMarch

393,126 89,840

FDI inflows during 2009-10 (From Aprilto Sep

74378 15312

Cumulative amount of FDI Inflows (Up toSep

467,504 105152

SOURCE: DIPP, Federal Ministry of Commerce & Industry, Government

1.6 . C O U N T R Y C O N T R I B U T I O N L I S T O F F D I I N I N DIA

The major countries contributing to the FDI inflow in India are Mauritius,USA, UK, Singapore etc. Mauritius is the largest contributor in thecumulative FDI flow during the period of 2000-2009. For detailed break upplease refer to section C of the Annexure .


5/21

2 . R E L A T I O N S H I P O F F O R E I G N I N V E ST M E N T W I T H M A C R O E C O N O M I C F A C T OR S

2 . 1 . F O R E I G N I N VE S T M E N T A N D G D P O F I N DI A

Foreign investment shows a strong correlation (polynomial) with GDP in thelast decade (1998-2008). The R 2 value for the same is 0.881 . Pleaserefer to section A.1 of the Annexure for detailed data. FDI shows a stronglinear correlation with the GDP of India. R2 value of 0.904 shows thestrength of the correlation between the two parameters. For detailed dataanalysis, please refer to the section A.2 of Annexure .

2 . 2 . F DI A N D I N D I A NC U R R E N C Y

A trend analysis of the FDI inflows to India and the exchange ratesprevailing in the financial year 2008-09 shows a trend which doesntdepict a very strong correlation between the two chosen parameters. Thebest and strongest fit function for the trend was given by the 6-degreepolynomial function with a R^2 value of 0.461 . The exchange ratetaken is taken with respect to US dollar. Please refer to section A.3 of Annexure for further details .

2. 3 . FO R E I G N I N VE S T M E N T A N D E M P LO Y M E N T G R O W T H

The R^2 value is 0.174 for the 5-degree polynomial correlationbetween foreign investment in India and employment. FDI shows a 4-degree polynomial correlation with employment with an R^2 value of 0.264 . For detailed data analysis, please refer to section A.4 of theAnnexure .

2. 4 . F DI A N D I N F L A T IO N ( W P I )

The correlation derived between Wholesale Price Index (WPI) and FDIbased on the monthly data available for the financial year 2008-09 showsa trend which is not as strong as seen in the previous sections. The R^2value for the correlation between the two parameters is only 0.075 .Please refer to section A.5 of the Annexure for further reference .

2. 5 . F O R E I G N I N V E S T ME N T A N D I I P

The correlation derived between Foreign Investment and Indexfor Industrial Production (IIP) shows strong relationship with R^2value of 0.91 for a linear correlation. The R^2 value is 0.95 for a 2-degree polynomial correlation of FDI with IIP which again shows a verystrong relationship. Please refer to section A.6 of the Annexure for


6/21

further reference .


7/21

3 . T I M E S E R I E S A N A L Y S I S O F F O R E I G N IN V E S T M E N T A N D F D I I N I N D I A

The best fit equation derived from the time series analysis of foreigninvestment inIndia is given by the following 2-degree polynomial equation: y = 355.5x 2 - 1E+06x + 1E+09

Where,x represents time (year) andy represents the foreign investment made in US $millions

The R 2 value obtained for the above equation is 0.945.

The best fit equation derived from the time series analysis of FDI in India isgiven by the following 3-degree polynomial equation:

y = 61.01x 3 - 36592x 2 + 7E+08x - 5E+11Where,x represents time (year) andy represents FDI in US $millions.

The R 2 value obtained for the above equation is 0.870.

For details and graphs corresponding to the analysis please refer to the sectionA.7 of Annexure.

4 . P O L I T I C A L F O O T P R I N T S O N F D I I N I N D I A

1991 BJP: We will make our economy truly Swadeshi bypromoting nativeinitiatives".

1993-94 The government realized the importance of FDI.1995-96 The FDI Mindset sets into the Government but opposition were

FDI and the Government's acceptance to IMF conditionality.1996-97 United Front Government: Increase in understanding towards

Investment.Foreign Investment Promotion Council Setup.

1997 The first ever guidelines were announced for consideration of investment proposals by the FIPB, which were not coveredautomatic route.

The list of industries eligible for automatic approval of up to 51foreign equity was expanded.

1998 When there was a decline in FDI the government had totechnical measures in terms of liberalizing investment norms in

1998-99 BJP admitted in its manifesto that the country cannot do

because besides capital stocks it brings with it technology,practices and most importantly employment.However BJP clarified that FDI will be encouraged in core areasusefully supplements the national efforts and it discouraged


8/21

priorityareas.

1999 When a second year of decline continued a ForeignInvestment Implementation Authority (FIIA) was set up

for providing a single point interface between foreign investorsand the government machinery.

2004 FDI had become a non-electable issue as there was widespreadacceptance of the topic among all the party lines

2006 "FDI will continue to be encouraged and actively sought,particularly in

areas of infrastructure, high technology and exports and wherelocal assets are created on a significant scale. The country needsand can easily absorb at least two to three times the present levelof FDI inflows basis of CMP

5 . H O W D O E S G O V E R N M E N T A T T R A C T S A N DM O N I T O R S F D I ?

F o r ei g n In ves t m e n t Pr o m o t ionB oa r d F IPB :

This specially empowered Board in the office of the Prime Minister is theonly agency dealing with matters relating to FDI as well as promotinginvestment into the country. It is chaired by Secretary Industry (Department

of Industrial Policy & Promotion).It promotes FDI into India by undertaking investment promotion activitiesin India and abroad by facilitating investment in the country throughinternational companies, non- resident Indians and other foreign investors.

F o r ei g n In ves t m e n t Pr o m o t ionCo u n c il F IPC:

The Government has constituted a Foreign Investment Promotion Council(FIPC) under the chairmanship of Chairman ICICI, to undertake vigorousinvestment promotion and marketing activities. The Presidents of thethree apex business associations such asASSOCHAM, CII and FICCI will be members of the Council. Ministryof Industry personnel will be Member-Secretary.

F o r ei g n In v e s t m e n t Im pl em e n t a t ion A ut ho r it y F II A :Foreign Investment Implementation Authority (FIIA) has been setup by the government of India in order to encourage the implementationof the proposals for FDIin the country. By doing this, Foreign Investment Implementation Authority(FIIA) has given a major boost to the Indian economy.

Role of Foreign Investment Implementation Authority (FIIA): To understand and solve the problems of the investors To understand and solve the problems of the approving authorities To refer the cases that have not been resolved at the level

of FIA to the agencies at the higher levels To start consultations with multiple agencies


9/21

In ves t m e n t Com m is s io n :

The Investment commission of India is a three-member commissionset up in theMinistry of Finance in December 2004 by the Government of India. Mr.

Ratan Tata is Chairman and Mr. Deepak Parekh and Dr. Ashok Ganguly aremembers. The Investment Commission has been set up to enhance andfacilitate investment in India. The Commission makes recommendations tothe Government of India on policies and


10/21

procedures to facilitate investment, recommends projects and investmentproposals that should be fast tracked/mentored and promotes India as aninvestment destination

6 . W H A T D E T E R M I N E S T H E FDI I N T H E E C ON O M Y ?

Growth of the economy:o The growth rate of the home economy is an important

determinant of FDI into the country. Size of the economy:

o The FDI flows also depend on the size of the homeeconomy.

Real exchange rate:o Any depreciation in the currency of India will make our

country more favorable for foreign investments. Degree of openness of the economy:

o Any FDI investment into a country depends upon howopen the economy is towards foreign trade (bothimports and exports). We have captured the opennessof the economy through the proxy variable, DO (Degreeof Openness) where it is given by

DO = (Imports+Exports)/GDP

An open-market operation where the RBI decides to buygovernment bonds from the public will result in the expansionof the money supply. From the above graph, we can see thatthe increase in the money supply decreases the interest ratefrom i1 to i2. The decrease in the interest rate increases theexchange rate (as the demand for foreign currency > supply of foreign currency). As a result, the FDI increases in the hostcountry.

Also, the decrease in the interest rate means the cost of capital decreases since national income identity suggests thatan increase in domestic investment will positively impact ondomestic output.(Y = C + I + G + X M). Open-marketoperations are likely to do a better job in attracting more flowsof FDI than other type of monetary policy. The reason isbecause they impact on two determinants of FDI inflows -exchange rate and GDP.


11/21

Incorporating all these factors as determinants of FDI,we get the following model:

FDI t = a +b GDP t + c GDP t + d DO t + e REER t + u t

Where,

FDIt = Foreign Direct Investment in Period tGDP t = Gross Domestic Product in Period t GDP t = GDP t -GDP t-1DO t = Degree of Openness in Period t and is equal to ratio of Sum of

Exports and Imports to GDP tREER t = Real Effective Exchange Rate inPeriod t u t = Error Term

Using the time series data, we ran a multi-variate regressionof the above equation to estimate the values of the coefficients and tocheck their significance levels. We obtained an adjusted R square value of .783 which shows that the model explains more than 70% of the data.

FDI t = -83110 + .011 GDP t + .02 GDP t + 66970 DO t + 633.5REER t

Also, we note that all the coefficients are positive which is asexpected and the t statistic values indicate that all coefficients aresignificant.


12/21

7 . A N N E X U R E

FDI, FI, GDP, WPI, Unemployment and Currency statistics are taken fromRBIs IndianStatistics Handbook 2009 mentioned below

htt p :// www . r bi . o rg . in /sc r ip ts/AnnualPublicat ion s . as p x ? hea d= H a n d boo k% 20 o f% 20 S ta t i st i cs% 20 on% 20I n d ia n%2 0 E cono m y

A.1) Foreign investment in India and Indias GDP:

Year Foreign Investment ('000 US $ GDP ('00000 In Rs1998-99 2.401 17.865251999-2000 5.181 19.250172000-01 6.789 20.977262001-02 8.151 22.614152002-03 6.014 25.381712003-04 15.699 28.777062004-05 15.366 23.820682005-06 21.453 27.469282006-07 29.082 43.036542007-2008 34.36 50.234

A.2) FDI in India and Indias GDP:

Year FDI ('000 US $ GDP ('00000 In Rs1998-99 2.462 17.865251999-2000 2.155 19.250172000-01 4.029 20.977262001-02 6.13 22.614152002-03 5.035 25.381712003-04 4.322 28.77706
http://www.rbi.org.in/scripts/AnnualPublications.aspx?head=Handbook%20of%20Statistics%20on%20Indian%20Economyhttp://www.rbi.org.in/scripts/AnnualPublications.aspx?head=Handbook%20of%20Statistics%20on%20Indian%20Economyhttp://www.rbi.org.in/scripts/AnnualPublications.aspx?head=Handbook%20of%20Statistics%20on%20Indian%20Economyhttp://www.rbi.org.in/scripts/AnnualPublications.aspx?head=Handbook%20of%20Statistics%20on%20Indian%20Economyhttp://www.rbi.org.in/scripts/AnnualPublications.aspx?head=Handbook%20of%20Statistics%20on%20Indian%20Economyhttp://www.rbi.org.in/scripts/AnnualPublications.aspx?head=Handbook%20of%20Statistics%20on%20Indian%20Economyhttp://www.rbi.org.in/scripts/AnnualPublications.aspx?head=Handbook%20of%20Statistics%20on%20Indian%20Economy


13/21

2004-05 6.051 23.820682005-06 8.961 27.469282006-07 22.07 43.042007-2008 34.36 47.234

A.3) Foreign Investment and Indian Currency

Month - RBI REFERENCE RATE WITH FDI ('00 in US $Sep-08 45.5635 25.62

Oct-08 48.6555 14.97Nov-08 48.9994 10.83Dec-08 48.6345 13.62

Jan-09 48.8338 27.33Feb-09 49.2611 14.88Mar-09 51.2287 19.56Apr-09 50.0619 23.39May-09 48.5330 20.95

Jun-09 47.7714 25.82 Jul-09 48.4783 35.16Aug-09 48.5348 32.68Sep-09 49.4697 15.12


14/21

A.4) Foreign Investment and Indian Employment

YearPublicSector

PrivateSector

Total (Public +Private) in

FDI inUS

FI in US $millions

1995-96 19.43 8.5 37.4 2144 4892

1996-97 19.56 8.6 39.1 2821 6133

1997-9819.42 8.7 40.0

3557 5385

1998-99 19.41 8.7 40.3 2462 24011999-2000 19.31 8.6 41.3 2155 5181

2000-01 19.14 8.6 42.0 4029 6789

2001-02 18.77 8.4 41.1 6130 8151

2002-03 18.58 8.4 41.3 5035 6014

2003-04 18.20 8.2 40.4 4322 1569

2004-05 18.01 8.4 39.3 6051 1536

2005-06 18.19 8.7 41.4 8961 2145


15/21

A.5) Foreign Investment and Wholesale Price IndexMonth -Year Wholesale Price Index FDI (00 US $ Millions)Sep-08 241.5 25.62Oct-08 239 14.97Nov-08 234.2 10.83Dec-08 229.7 13.62

Jan-09 228.9 27.33Feb-09 227.6 14.88Mar-09 228.2 19.56

Apr-09 231.5 23.39May-09 234.3 20.95


16/21

Jun-09 235 25.82 Jul-09 238.4 35.16Aug-09 240.8 32.68Sep-09 242.7 15.12

WPI figures from http :/ /www. ea in dustry. ni c. in /asp 2/list_d. asp

FDI inflows figures fromhtt p :// d ipp. n i c . in /f d i_st a t i st i cs/i n d ia _ F D I_ S e p t e mbe r2009 .p d f

A.6) Foreign Investment and Index for Industrial Production (IIP)

Annual Average IIP (Apr-Mar) Indices

YearBasicGoods

CapitalGoods

IntermediateGoods

NonDurable

GeneralIndex Total Durables

1995- 121.4 115.0 125.7 126.5 146.2 122.1 123.31996- 125.0 128.2 135.9 134.3 152.9 130.2 130.81997- 133.6 135.6 146.8 141.7 164.9 136.5 139.5

1998- 135.8 152.7 155.8 144.8 174.1 138.1 145.21999- 143.3 163.3 169.5 153.0 198.7 142.5 154.92000- 148.6 166.2 177.4 165.2 227.6 150.8 162.62001- 152.5 160.6 180.1 175.1 253.7 157.0 167.02002- 159.9 177.4 187.1 187.5 237.8 175.9 176.62003- 168.6 201.5 199.0 200.9 265.4 186.1 189.02004- 177.9 229.6 211.1 224.4 303.5 206.2 204.82005- 189.8 265.8 216.4 251.4 349.9 228.8 221.52006- 209.3 314.2 242.4 276.8 382.0 252.6 247.12007- 223.9 370.8 264.1 293.6 378.0 274.2 268.0

IIP data flows from htt p ://mospi . n i c . in/ i ip _ t a b le4.htm
http://www.eaindustry.nic.in/asp2/list_d.asphttp://www.eaindustry.nic.in/asp2/list_d.asphttp://dipp.nic.in/fdi_statistics/india_FDI_September2009.pdfhttp://dipp.nic.in/fdi_statistics/india_FDI_September2009.pdfhttp://dipp.nic.in/fdi_statistics/india_FDI_September2009.pdfhttp://dipp.nic.in/fdi_statistics/india_FDI_September2009.pdfhttp://dipp.nic.in/fdi_statistics/india_FDI_September2009.pdfhttp://mospi.nic.in/iip_table4.htmhttp://mospi.nic.in/iip_table4.htmhttp://www.eaindustry.nic.in/asp2/list_d.asphttp://dipp.nic.in/fdi_statistics/india_FDI_September2009.pdfhttp://mospi.nic.in/iip_table4.htm


17/21

Year FDI in US $millions

Foreign Investment US $millions

1995-96 2144 4892

1996-97 2821 6133

1997-98 3557 5385

1998-99 2462 2401

1999- 2155 5181

2000-01 4029 6789

2001-02 6130 8151

2002-03 5035 6014

2003-04 4322 15699

2004-05 6051 15366

2005-06 8961 21453

2006-07 22826 29082

2007-08 34362 34360

FDI and FI figures are taken from RBI website mentioned below

htt p : // www . r bi . o rg . in /sc r ip ts/AnnualPublicat ions . as p x ? hea d= H a n d boo k% 20 o f% 20 S ta t i st i cs% 20 on% 20I n d ia n%2 0 E cono m y
http://www.rbi.org.in/scripts/AnnualPublications.aspx?head=Handbook%20of%20Statistics%20on%20Indian%20Economyhttp://www.rbi.org.in/scripts/AnnualPublications.aspx?head=Handbook%20of%20Statistics%20on%20Indian%20Economyhttp://www.rbi.org.in/scripts/AnnualPublications.aspx?head=Handbook%20of%20Statistics%20on%20Indian%20Economyhttp://www.rbi.org.in/scripts/AnnualPublications.aspx?head=Handbook%20of%20Statistics%20on%20Indian%20Economyhttp://www.rbi.org.in/scripts/AnnualPublications.aspx?head=Handbook%20of%20Statistics%20on%20Indian%20Economyhttp://www.rbi.org.in/scripts/AnnualPublications.aspx?head=Handbook%20of%20Statistics%20on%20Indian%20Economyhttp://www.rbi.org.in/scripts/AnnualPublications.aspx?head=Handbook%20of%20Statistics%20on%20Indian%20Economyhttp://www.rbi.org.in/scripts/AnnualPublications.aspx?head=Handbook%20of%20Statistics%20on%20Indian%20Economyhttp://www.rbi.org.in/scripts/AnnualPublications.aspx?head=Handbook%20of%20Statistics%20on%20Indian%20Economy


18/21

Year Foreign Investment1995-96 48921996-97 61331997-98 53851998-99 2401

1999-2000 51812000-01 67892001-02 81512002-03 60142003-04 156992004-05 153662005-06 214532006-07 29082

A.7) Time series analysis of foreign investment in India


19/21

Time series analysis for foreign investment in India

Year FDI (in US $1995-96 21441996-97 2821

1997-98 35571998-99 24621999-2000 21552000-01 40292001-02 61302002-03 50352003-04 43222004-05 60512005-06 89612006-07 22079

Time series analysis of FDI in India

B) Sector wise FDI Inflows:

Ranks Sector 2006-07

(April-March)

2007-08

(April-

March)

2008-09

(April-March)

200 9 -10

(April- Sept.09)

C u m u lat i v e

In fl ows

(April 00 to

Sept. 09)

% age tototal

Inflows

(In terms of rupees)

1. SERVICESSECTOR

(financial & non-financial)

21,047

(4,664)

26,589(6,615)

28,411

(6,116)

12,782

(2,627)

97,235

(21,876)

22 %

2. COMPUTERSOFTWARE &HARDWARE

11,786

(2,614)

5,623

(1,410)

7,329

(1,677)

2,107

(434)

41,603

(9,388)

9 %

3. TELECOMMUNI 2,155 5,103 11,727 9,815 38,182 9 %


20/21

CATIONS

(radio paging,cellular mobile,basic telephoneservices)

(478) (1,261) (2,558) (2,010) (8,386)

4. HOUSING &

REAL ESTATE

2,121

(467)

8,749

(2,179)

12,621

(2,801)

9,193

(1,894)

32,975

(7,407)

7 %

5. CONSTRUCTION ACTIVITIES

(including roads& highways)

4,424

(985)

6,989

(1,743)

8,792

(2,028)

4,814

(991)

26,991

(6,182)

6 %

6. POWER 713

(157)

3,875

(967)

4,382

(985)

5,805

(1,197)

19,816

(4,387)

4 %

7. AUTOMOBILEINDUSTRY

1,254

(276)

2,697

(675)

5,212

(1,152)

4,029

(833)

19,096

(4,222)

4 %

8. METALLURGIC

ALINDUSTRIES

7,866

(173)

4,686

(1,177)

4,157

(961)

1,273

(263)

12,778

(2,987)

3 %

9. PETROLEUM &NATURAL GAS

401

(89)

5,729

(1,427)

1,931

(412)

1,019

(205)

11,196

(2,598)

3 %

10. CEHMICALS

(other thanfertilizers)

930

(205)

920

(229)

3,427

(749)

617

(127)

10,185

(2,261)

2 %

C) Country wise break up of FDI inflow:Top ten investing (FDI Equity) countries (In Rs. Crore)

Rank s

Country 2006-07

(April -March

2007-08

(April -March)

2008-09

(April

-

2009-10

(April-

Sept. 09)

Cumulativ eInflows

(April 00toSe t. 09)

%age to total

Inflows

(in termsof rupees)

1. MAURITIUS 28,759

44,483

50,794

31,761

193,034

44 %

2. SINGAPORE 2,662

(578

12,319

15,727

5,763

39,615

9 %

3. U.S.A. 3,861

(856

4,377

8,002

5,991

33,951

8 %

4. U.K. 8,389

4,690

3,840

(864

1,364

(282

24,268

5 %

5. NETHERLANDS

2,905

(644

2,780

(695

3,922

(883

2,761

(571

18,614

4 %


21/21

6. JAPAN 382

(85

3,336

(815

1,889

(405

3,857

(793

15,082

3 %

7. CYPRUS 266

(58

3,385

(834

5,983

3,871

(794

13,920

3 %

8. GERMANY 540(120

2,075(514

2,750(629

1,815(375

11,304

3 %

9. FRANCE 528

(117

583

(145

2,098

(467

891

(185)

6,373

1 %

10. U.A.E. 1,174

(260

1,039

(258

1,133

(257

2,344

(484

6,350

1 %

TOTAL FDIINFLOWS

70,630

(15,72

98,664

(24,57

122,919

(27,32

74,378

(15,31

467,504

(105,15

-

D) FDI Inflows month wise for 2009-2010

SOURCE: DIPP, Federal Ministry of Commerce and Industry, Government of IndiaFigures in bracket are in US$ million

FDI Inflows for 2009-2010

(In Rs. Crore) (In US$ mn)

1. April 2009 11,708 2,339

2. May 2009 10,168 2,095

3. June 2009 12,335 2,582

4. July 2009 17,045 3,516

5. August 2009 15,796 3,268

6. September 2009 7,326 1,512

2009-10 (Up to September 2009) 74,378 15,3122008-09 (Up to September 2008) 73,111 17,211

%age growth over last year ( + ) 02%

( - ) 11%

Date post:	04-Apr-2018
Category:	Documents
Upload:	sachin-kumar-singh
View:	218 times
Download:	0 times

35354183 FDI and Its Impact on India

Documents