India registers highest-ever annual FDI inflow in 2020-21

India has registered the highest ever annual Foreign Direct Investment (FDI) inflow of 81.97 billion dollar in 2020-21. Commerce and Industry Ministry said, FDI inflows in the last seven financial years is over 440 billion dollar, which is nearly 58 percent of the total FDI inflow in last 21 financial years. The Ministry said, top five countries from where FDI Equity Inflows were received during 2014 to 2021 are Singapore, Mauritius, USA, Netherlands and Japan.The Ministry said, government has taken various steps to boost domestic and foreign investments in India. Some of these steps include the reduction in corporate tax rates, easing liquidity problems of NBFCs and banks, improving the Ease of Doing Business, FDI policy reforms, reduction in compliance burden, policy measures to boost domestic manufacturing through public procurement orders, among others

The computer software and hardware sector attracted the largest share of FDI inflows at 19 per cent, followed by the service sector at 15 per cent. Trading saw FDI inflow of eight per cent, while the Telecommunications & Construction (Infrastructure) sector attracted FDI inflow of seven per cent each, during the same period in the last more than seven years, according to commerce ministry data. To facilitate the investments, measures such as India Industrial Land Bank (IILB), Industrial Park Rating System (IPRS), soft launch of the National Single Window System (NSWS), National Infrastructure Pipeline (NIP), National Monetisation Pipeline (NMP), among others, have been put in place.