Steps taken by the central government to provide incentives including ease of doing business and liberalization of foreign investment standards are expected to increase FDI (foreign investment) by 10 to 15 per cent next year.
Measures including PM Speed Power, Single Window Clearance, and GIS Mapped Land Bank will accelerate investments in 2022. In the wake of the global slowdown and the Covid-19 epidemic, India recorded a record foreign investment of 81 81.72 billion during 2020-21.
FDI inflows grew by 62% to 27 27.37 billion in the July quarter of the current fiscal. The increase in FDI reflects global confidence in India’s growth. Nangia Anderson’s partner Nischal Arora has said that with the launch of PLI schemes in 12 manufacturing sectors, foreign investment is likely to grow at a rate of 10 to 15 per cent.
Notable foreign investment in this segment
has been the highest FDI in the services segment, including computer software-hardware, telecommunications, trading, construction development, automobiles, chemicals, and pharmaceuticals. Foreign investors must seek government approval to invest in segments including telecom, media, pharma, insurance.