Analysis on Foreign Direct Investment and Economic Growth in India
Rajeshwari B, Laxmi B
The aim of this research paper is to examine the foreign direct investment in India. The study is based on secondary source of data collected from Reserve Bank of India, during the period 2000-01 to 2017-18. The result of the study reveals that inflow of foreign direct investment consistently increased in India, but outflow of foreign direct investment inconsistent during the study period. The highest inflow of Rs.2,942.58 billion and outflow of Rs. 905. 39 billion with respect to 2015-16 and 2008-09 respectively. The study suggests that foreign direct investment is important for increase export, increase production; reduce trade deficit, increase of foreign exchange reserves and increase government revenue in India. Therefore, it is also suggests that policies feasible is important for attract more inflows in India. The study signifies that foreign direct investment is important for development of Indian economy.