India’s FDI at $81 billion in FY25: Piyush Goyal highlights rise in sources | Economy News

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India’s FDI inflows reached a remarkable $81 billion USD in fiscal year 2025, a 14% increase from the previous year. Union Commerce and Industry Minister Piyush Goyal announced this surge in a meeting organised by the Secretary of DPIIT, emphasizing the rising global appeal of India as an investment destination. This significant inflow contributes to India’s cumulative FDI exceeding $1 trillion since April 2000.

Goyal highlights investment boom and emphasises India’s growing Appeal as global investment hub
(Pic: depositphotos)

New Delhi: FDI inflows into India totaled around $81 billion in the fiscal year 2025. Union Commerce and Industry Minister Piyush Goyal gave a statement on India’s FDI inflows and highlighted the increased number of countries from which India is receiving the FDI. The countries from which FDI is flowing stand at 112, the minister said, virtually, in a roundtable meeting, emphasizing the rising appeal of India as a global investment destination.
The roundtable meeting was organised and chaired by the Secretary of the Department for Promotion of Industry and Internal Trade (DPIIT), Amardeep Singh Bhatia.

Bhatia invited views and suggestions from investors to enhance reinvestment within the country, improve industrial park infrastructure, and explore new expansion opportunities. He highlighted a growth of over 14 percent in FDI from the previous fiscal year of 2023-2024.

Targeted policy

The secretary also emphasised the importance of targeted policy interventions to further catalyse foreign investment. He urged key investors to consider scaling their operations, co-investing in startups, and contributing to India’s growing investment momentum

FDI stands for Foreign Direct Investment. It involves an investment of more than 10 percent ownership in a listed Indian company by a foreign entity. Usually, it is a long-term investment and is largely a debt-free capital flow.
The data obtained from DPIIT says that the cumulative amount of FDI investment into India totaled up to $1 trillion USD in the period span of 24 years between April 2000 and September 2024.

Significance of FDI

A significant point to remember is that of all the sources of investment, foreign direct investment is perhaps the most important. The reason are quite a few. One, FDI signals confidence of investors abroad in the policies, delivery mechanism, supply chain of the industry and skill pool of the workers in that country. Two, it is a permanent investment that takes place in factories, machinery, buildings and other assets of the country which cannot be withdrawn quickly unlike portfolio investment. Three, it creates permanent employment and has a multiplier effect on the economy.

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