India saw a 27 per cent rise in FDI, despite Covid-19: UNCTAD

BusinessIndia saw a 27 per cent rise in FDI, despite Covid-19: UNCTAD

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India saw a 27 per cent rise in FDI, despite Covid-19: UNCTAD

New Delhi: India saw a 27 per cent rise in Foreign Direct Investment to USD 64 billion in 2020, said UNCTAD’s World Investment Report published on Monday.

“FDI in South Asia rose by 20 per cent to USD71 billion, driven mainly by a 27 per cent rise in FDI in India to USD 64 billion,” said the Report.

“In India, robust investment in ICT and construction bolstered FDI inflows. Cross-border M&As surged 83 per cent to USD 27 billion, with major deals involving ICT, health, infrastructure and energy.”

The report said FDI fell in other South Asian economies that rely on export-oriented garment manufacturing.

“Inflows in Bangladesh and Sri Lanka contracted by 11 per cent and 43 per cent respectively. In Pakistan, FDI was down by 6 per cent to $2.1 billion, cushioned by continued investments in power generation and telecommunication industries,” UNCTAD said.

FDI flows to developing countries in Asia increased by 4 per cent to $535 billion in 2020, reflecting resilience amid global FDI contraction.

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