Recent trend in net FDI inflows linked to increased investments by India, greater repatriation: Government

Net foreign direct investment has declined significantly in recent years. This trend is linked to increased overseas investments by Indian companies. Greater repatriation by foreign investors also contributes to this shift. Indian enterprises are ...

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New Delhi: The recent trend in net foreign direct investment (FDI) is linked to higher overseas investments by India, as well as increased repatriation, Parliament was informed on Tuesday.

The net FDI has come down to USD 1 billion in 2024-25 from UD 10.2 billion in 2023-24 and USD 28 billion in 2022-23.

In a written reply to the Lok Sabha, Minister of State for Commerce and Industry Jitin Prasada said the increase in ODI (Outward Direct Investment) outflow underscores the growing global aspirations and capabilities of Indian enterprises as they venture abroad to acquire strategic assets, access new markets and tap into advanced technologies.


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The repatriations/disinvestments indicate a maturing investment ecosystem where foreign investors are monetising investments after successfully scaling up Indian enterprises, with the transfer of ownership to domestic investors reflecting strengthening of domestic capital and entrepreneurial capacity, he added.

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"The recent trend in net FDI inflows is associated with increased FDI by India, as well as greater repatriation," Prasada said.
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