An Analytical Study of Foreign Direct Investment Trends in India During 2000-01 to 2015-16

Globalisation and liberalisation brings lots of new innovative products to the world, Foreign Direct Investment is the one among this, also there are number of different forms of FDI is currently available. Foreign Direct investment (FDI) plays an important role in the development of a nation. Sometimes domestically available capital is inadequate for the purpose of overall development of the country. Foreign capital is seen as a way of filling in gaps between domestic savings and investment. It helps in transferring of financial resources, technology and innovative and improved management techniques along with raising productivity. Countries around the world- both developed and developing, are taking concerted efforts in a bid to attract greater flows of FDI into their economies. Indian government under leadership of Prime Minister Narendra Modi is leaving no stone unturned in its attempt to attract greater FDI flows into India. According to London-based business daily Financial Times (FT) report in September 2015 India has emerged as the most favoured destination for FDI in 2015 so far, outpacing China and US. According to data from FDI Markets, an FT data service, FDI inflow into India during January-June stood at $31 billion, ahead of China's $28 billion and the US's $27 billion.The present study has focused on the trends of FDI Flow in India during 2000-01 to 2015-16. The study also highlights country wise approvals of FDI inflows to India and the FDI inflows in different sector for the period April 2000 to March 2016. The paper presents statement on RBI's regional offices received FDI equity inflows. In the end paper includes suggestions for increased flow of FDI in India