The Role of Foreign Direct Investment (FDI) in India - An Overview

FDI plays an important role in the Economic development in India, because it helps to bring close the different economies of the country by investing capital through FDI in various areas like manufacturing, infrastructure, transport, technology, productivity and hospitality, etc. Foreign capital is seen as a means of filling in gaps between domestic savings and investment. India attract record levels of foreign investment is an explicable source of pride. Between the market size, investment reform, and economic growth rates, India has the right mix of openness and chance. Yet, India seems to be suffering from many restrictions and challenges regarding opening its markets completely too universal investors. Some of the major challenges in the area of FDI are: political instability, infrastructure Facility, tax policies, corruption, governmental regulations and so on. The present article has focused on the trends of FDI Flow in India and the patterns of foreign investment into India. This article tries to present “The Role of Foreign Direct Investment (FDI) in India”.