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3, Issue 1, Jan - March 2013 ISSN : 2230-9519 (Online) | ISSN : 2231-2463 (Print)
Also, India has emerged as a destination for Non Resident Indian E. Financial Services
(NRI) investments. The country is witnessing a rising interest from In 2011, the number of projects in the Indian financial services
NRIs. Fig. 3, gives a comprehensive overview of FDI flows in the sector increased by 21 percent, whereas the value of FDI projects
country, along with the contribution from NRIs [9]. increased by 75 percent.
F. Life Sciences
Government permits 100 percent FDI for health and medical
services under the automatic route.
G. Cleantech
According to the November 2011 edition of Ernst & Youngs
Renewable energy country attractiveness indices, India ranked
as the fourth most attractive country (after China, the US and
Germany) out of 40 countries [8].
VI. Conclusion
Foreign direct investment (FDI) is an integral part of an open and
effective international economic system and a major catalyst to
development. Yet, the benefits of FDI do not accrue automatically
and evenly across countries, sectors and local communities.
National policies and the international investment architecture
matter for attracting FDI to a larger number of developing countries
and for reaping the full benefits of FDI for development [1]. One
of the advantages of foreign direct investment is that it helps in
the economic development of the particular country where the
investment is being made [5].
Fig. 3: FDI Flows in the Country, Along with the Contribution
from NRIs References
[1] OECD,"Foreign Direct Investment for Development-
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4. Increased Competitiveness Attracting Foreign Direct Investment (FDI) to India, April
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ifdi.pdf
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3. Greater reliability FDI_Role_of_a_Game_Changer.pdf
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V. 7 Major Sectors Attracting FDI in India pdf
[5] Economy Watch,"Benefits of Foreign Direct Investment",
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The number of FDI projects in the Infrastructure sector grew by direct-investment/benefits.html
90 percent in 2011 in India. [6] Economy Watch,"Foreign Direct Investment in India",
[Online] Available: http://www.economywatch.com/foreign-
B. Automotive direct-investment/fdi-india/
The automotive sector in India attracted 78 FDI deals during [7] Times of India,"FDI in retail positive for Indian economy",
2011, an increase of 28 percent in comparison to the same period [Online] Available: http://timesofindia.indiatimes.com/
in 2010. business/india-business/FDI-in-retail-positive-for-Indian-
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C. Retail and Consumer Products [8] [Online] Available: http://in.finance.yahoo.com/photos/7-
The number of projects in the consumer products sector grew by major-sectors-attracting-fdi-for-india-1347532884-
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1347532594.html
D. Technology [9] OIFC, NRI Investment Trend in India, [Online] Available:
The industry has grown from US$4 billion in 1998 to more than http://m.oifc.in/Investing-in-India/Investment-Info/
US$80 billion in 2011, employing directly and indirectly more Investment-Trends/NRI-Investment-Trends-in-India
than 10 million people.