FDI jumps 77.5% to $5.15 billion in September

Govt relaxed FDI norms in various sectors, including defence and civil aviation to boost FDI in the country

With the government relaxing FDI policy and taking steps to improve ease of doing business, the Foreign Direct Investment in the country increased by 77.5 per cent to $5.15 billion in September this year.

In September 2015, the FDI had stood at $2.9 billion, according to the data of the Department of Industrial Policy and Promotion (DIPP).

During April-September period of this fiscal, FDI in the country grew by 30 per cent to $21.62 billion as compared to $16.63 billion in the same period last year.

Among the top 10 sectors, services received the maximum FDI of $2.29 billion during the first half of this fiscal, followed by telecommunications ($2.78 billion), trading ($1.48 billion), computer software and hardware ($1.03 billion) and automobile ($729 million).

During the period, India received the maximum FDI from Mauritius ($5.85 billion) followed by Singapore ($4.68 billion), Japan ($2.79 billion), the Netherlands $1.61 billion) and the US ($1.43 billion).

During financial year 2015-16, foreign fund inflows grew at 29 per cent to $40 billion as against $30.93 billion in 2014-15.

The government relaxed FDI norms in various sectors, including defence and civil aviation to boost FDI in the country.

Foreign investments are considered crucial for India, which needs around $1 trillion to overhaul its infrastructure sector such as ports, airports and highways to boost growth.

Growth in foreign investments helps improve the country's balance of payments (BoP) situation and strengthen the rupee.