Net FDI in India declines to $1.2 billion Apr-Dec 2024, says RBI data

Net foreign direct investment (FDI) in India — inflows minus outflows — declined to $1.18 billion during April-December 2024 from $7.84 billion in the same period in 2023 due to a rise in repatriation and overseas investments by Indian firms.

 

Gross inward FDI during April-November 2024 increased by 20.6 per cent year-on-year (Y-o-Y) to $62.5 billion from $51.8 billion a year ago, according to the Reserve Bank of India’s (RBI’s) data (February 2025 bulletin).

 

Repatriation/disinvestment by those who made direct investments in India rose to $43.99 billion during the nine-month period of 2024-25, up from $33.06 billion in April-November 2023, RBI data showed.

 

Overseas investments made by Indian firms, i.e., outward FDI, rose sharply to $17.3 billion in April-December 2024 from $10.9 billion a year ago.

 

The State of the Economy report in the February 2025 bulletin noted that in gross FDI inflows, manufacturing, financial services, electricity and other energy, and communication services received more than 60 per cent of the gross equity inflows.

 

Singapore, Mauritius, the United Arab Emirates, the Netherlands, and the US were the top investment sources, accounting for more than 75 per cent of the flows during the period.

 

In 2024, global FDI rose by 11 per cent Y-o-Y but remained below its 10-year average for the third straight year, it added.