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India FDI Inflows Reach a Record High

India FDI Inflows Reach a Record High

Nomura Global Markets Research disclosed that net foreign direct investment inflows to India have touched a record high of $34.9 billion in the fiscal year that ended March 2015, as can be seen in the chart below.

Fund Inflows
Fund Inflows

Net FDI inflows touched 1.7% of  GDP in the just-ended fiscal year, up from 1.1% of GDP the previous year, since there was more inbound FDI due to growing investor confidence in India and lower outbound FDI as global growth remains anemic, Nomura said in a note. Foreign investment inflows to India are predominantly to the infrastructure, telecom, oil and gas, and mining sectors, as well as the services sector reports Live Mint.

According to Nomura, FDI inflows may pick up further in FY16 because of an improving domestic growth outlook, recent liberalization of FDI limits and government efforts to improve the ease of doing business in India.

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