This paper aims to study the status of Foreign investments in India after the globalization. Globalization in India meant shedding its inhibitions about the world market and foreign investments. India had opened its market to the select few but with increase in the opportunities in the world market it was forced to open itself to more competition and greater opportunities. It also meant allowing the foreign investors to invest in the infrastructure industries. The infrastructure industries are electricity, coal, finished steel, cement, Crude petroleum, refined petroleum products, telecom, oil and gas, roads & bridges, aviation, railways, urban infrastructure, housing, power, ports & shipping, transportation, railways, water etc., these industries were earlier dominated by the public sectors. To encourage foreign funds flow into the Infrastructure in India, the Indian Finance Ministry has allowed Foreign Institutional Investors (FIIs) also to invest in unlisted companies. FIIs now can invest 100 per cent of their funds in the Infrastructure in India. In order to make the core sector more attractive for FDI, the Cabinet Committee on Foreign Investment (CCFI) has modified the 49 percent cap on foreign equity in the infrastructure sector to make fund mobilization easier. This major policy decision which will indirectly raise the foreign equity investment in infrastructure sector to well over 51 per cent. Therefore the paper will try to analyze the foreign direct investment scenario in India after 17 years of globalization policy. The purpose of the study is to see the FDI investment at the infrastructural level, the methodology used is intensive research through the secondary data from the RBI manuals and Fact Sheets, Department of Industrial Policy and Promotion, Government of India . I conclude that at a time like this when the world is facing the recession and India is also not left out from the global recession effects the Indian government needs to lure the Foreign investors with more flexible policies and foster environment for the FDI investments in the infrastructural sectors which would build India as an leading economy
