India's outbound FDI down to $2.1 billion in August, shows RBI data

India’s outward foreign direct investment (FDI) in August moderated to $2.1 billion from $3.4 billion in the same month last year.

 

Sequentially, it declined sharply against $4.1 billion in July, according to the data from the Reserve Bank of India (RBI).

 

Outbound FDI, expressed as a financial commitment, comprises three components: Equity, loans, and guarantees.

 

Equity fell to $939.6 million in August compared to $1.2 billion a year ago and $1.7 billion in July.

 

Debt (loans) was at $510.3 million in August from $682.1 million in August last year.

 

It was also lower than $737.2 million recorded in July.

 

Guarantees for overseas units moderated sharply to $647.8 million in August from $1.5 billion a year ago and $1.64 billion in July.

 

The data on key investment by companies showed Tata Steel committed an equity infusion of $355 million in its Singapore-based wholly owned subsidiary T Steel Holdings Pte.

 

Pharma-sector entity Zydus Medtech committed $232.6 million in its wholly owned subsidiary in France. It consists of $230.3 million of guarantees and $2.3 million in equity. 

 

Automotive-sector entity Samvardhana Motherson International committed investment in the form of debt worth $230.3 million in a joint venture in the Netherlands.