FDI in 2013 dips 2% to USD 19 billion in April-January 2013-14

Foreign direct investment (FDI) in India dipped by 2 percent to US$ 18.75 billion in April-January 2013-14 from US$ 19.10 billion in the corresponding period of previous year.

The FDI for the calendar year (CY) 2013 dipped by 3 percent to US$ 22.03 billion in 2013 against US$ 22.78 billion of FDI in CY 2012, according to the data by Department of Industrial Policy and Promotion (DIPP). Towards the close of the CY 2013, UK retail major Tesco submitted its application to initially invest USD 110 million in opening of supermarket chain with Tata Group's Trent.

January 2014 saw the third highest inflow after US$ 4.13 billion in September 2013 and US$ 2.32 billion in April 2013.

Services, pharmaceuticals, automobiles, construction development, telecommunications, computer software and hardware, chemicals and power were among the sectors that attracted foreign investment in April-January 2013-14.

The countries which invested in India during the year include Mauritius, Singapore, the UK, the Netherlands, Japan, Germany, France and UAE.

The government has relaxed FDI norms in almost a dozen sectors including telecom, defence, PSU oil refineries, commodity bourses, power exchanges and stock exchanges.

India is projected to require around US$ 1 trillion in the 12th Five Year Plan period (between 2012-13 and 2016-17), to fund infrastructure growth covering sectors such as ports, airports and highways.

A decline in FDI would hurt the rupee, which had depreciated to a record low of 68.85 against the US dollar on August 28 last year. It has strengthened since then to about 59.9 a dollar currently.

Powered by Capital Market - Live News