Strong foreign investment flow from Google, Facebook despite coronavirus woes

Significant foreign investment has flowed into the country in a span of just three-and-a-half months, a period that saw economic activity come to a grinding halt due to the coronavirus pandemic. Top global companies such as Google, Facebook and Walmart invested in India. In fact, Facebook’s investment in Reliance Industries’ Jio Platforms is the social media giant’s single-largest investment in another company.

Strong start to foreign equity flow in FY21

FDI by end July likely to be higher this year than corresponding period last year because:

• There is more time left in the month
• This is compiled from reports; actual may already be higher

Equity is dominant flow in FDI
Total FDI includes equity flow, reinvested earnings and other capital. Equity FDI is biggest component in overall FDI.

Top global companies announced investments in India
Google has announced $10b investment in India. $4.5b of this is in Jio Platforms, the balance would come over 5-7 years.

Other investments or expansions

• Hyundai Mobis to expand India technical centre for software development of future vehicles
• Axtria, a data analytics and cloud software company, opened first delivery centre in south India
• SGS (Amazon’s partner in quality packaging) — Opened first accreditation testing lab in India
• F5, solution provider to appbased platforms, opened first centre in India
• Tsuzuki, Japanese electronics company, opened a plant in Haryana
• Samsung — Entire range of 18 smartwatches being made in India