Foreign Investment Inflows
Foreign Investment Inflow refers to the movement of funds into the domestic economy from abroad, representing either the purchase of domestic financial securities and physical assets by foreigners, or the borrowing of foreign funds by domestic residents.
Foreign Investment Inflow refers to the movement of funds into the domestic economy from abroad, representing either the purchase of domestic financial securities and physical assets by foreigners, or the borrowing of foreign funds by domestic residents.



SUBJECT Variables
FDI INTO INDIA
FDI inflow is the total value of inward overseas direct investment made by foreign entities, including non-resident investors. It is therefore, investment coming into the country.



- Total FDI inflow into India dropped to USD 70.9 billion in 2023-24, a decrease of 0.6% over the preceding year.
- 63% of the total investments made by foreign investors in 2023-24 were in Equities
- 28% of the total FDI inflow in 2023-24 was in the form of re-invested earnings wherein the income generated by investors on their existing investments was invested back into India. The value of re-invested earnings has consistently risen since 2013-14, up from USD 9 billion in 2013-14 to USD 19.18 billion in 2023-24.
- 7.5% of the total investments made by foreign investors in 2023-24 were in other capital forms
- Only 2% (USD 1.4 billion) of the total FDI inflows in 2023-24 were in ECUB (equity capital of unincorporated bodies), in comparison to 2.2% (USD 1.6 billion) in 2022-23.



FDI outflow is the total value of outward overseas direct investment made by the residents of the country to businesses based in foreign economies.
- The total outflow by Indians in 2023-24 was USD 44.5 billion, a 51.5% increase from USD 29.3 billion in 2022-23. Of this, 93% was in equities and 7% was in other capital.



Net Investments
It is the total FDI inflow minus FDI outflow (repatriation).
- The total/net FDI into India in 2023-24 was USD 26.5 billion, a 37% decrease over the previous year.



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