A Study on Foreign Direct Investment In India

Journal Name: 
Indian Journal of Research
Vol. 5 - No. 2
Author Name Designation Organization
S.K. Khatik
Milind Patil

Foreign Direct Investment (FDI) plays an important role in the economic development of a country. In this research paper attempt is made to study the effect of FDI inflows on the Indian economy development over the period of 2000 to 2015.The Government of India has been making continuous efforts to attract foreign capital during the post-liberalization period. The efforts include providing concessions in taxes, announcing tax holidays and increasing the investment cap in various sectors of the Indian economy. As a result of the continuous efforts by the Government of India, there has been steady rise in the inflow of foreign CapitaLand overall progress in various sectors of the Indian economy. There has been tremendous progress in the various sectors of the Indian economy due to the inflow of foreign capital. The GDP growth rate has crossed 9% due to boom in manufacturing and service industries. Further, the Sensex points in Indian stock market had touched 27499.42 in 2014.In addition there has been improvement in the exports and control over inflation. The study is primarily based on secondary data collected from websites, journals and newspapers. Statistical tools like percentage, common size statements and trend analysis are used to analyze the data. This analysis has revealed that Foreign Investment has positive impact on  overall  Macroeconomic development of the country.