The Dynamics of FDI in India: Regional and Sectoral Perspectives

Authors

  • Dr. Mukta Jain Assistant Professor, Department of Commerce Dyal Singh College, Karnal

Keywords:

Foreign Direct Investment (FDI), Regional and Sectoral Perspectives

Abstract

Foreign Direct Investment (FDI) has played a crucial role in India's economic growth, enhancing industrial productivity, technological advancement, and employment generation. This paper examines the state-wise  and sector wise FDI inflow in India between 2000 and 2010, analyzing trends and identifying key determinants of FDI distribution across states. The study uses secondary data sources. The findings indicate that Maharashtra, Delhi NCR, Karnataka, and Tamil Nadu attracted the highest FDI inflows due to their superior infrastructure, industrial clusters, and business-friendly policies. The study also highlights disparities in FDI distribution, identifying key factors limiting investment in less-developed states. The study highlights India's strong positioning in the services and IT sectors, which have consistently attracted the highest foreign investments. Finally, policy recommendations are provided to foster balanced regional investment and diversified investments across multiple sectors to ensure balanced economic development.

References

 Agarwal, R. (2001). "FDI in India: Trends and Policy Implications." Economic & Political Weekly, 36(11), 965-972.

 Dhingra, T. (2005). "Determinants of FDI Inflows across Indian States." Journal of Business Studies, 25(3), 45-60.

 Sharma, K., & Sehgal, M. (2008). "Sectoral Analysis of FDI in India." Indian Economic Review, 30(4), 231-250.

 Reserve Bank of India (2000-2010). "Annual Reports on Foreign Direct Investment." RBI Publications.

 Department for Promotion of Industry and Internal Trade (2000-2010). "FDI Statistics Reports." Ministry of Commerce & Industry, Government of India.

 World Bank Open Data

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Published

30-12-2013

How to Cite

Dr. Mukta Jain. (2013). The Dynamics of FDI in India: Regional and Sectoral Perspectives. International Journal for Research Publication and Seminar, 4(2), 31–36. Retrieved from https://jrps.shodhsagar.com/index.php/j/article/view/1632