Foreign Direct Investment in India – FDI Inflow
Last day’s US Fed rate declaration affected the stock markets globally as slightly. The Central bank has also been downgraded the GDP rate for US to 2 percent for the FY2019. The announced interest rate by 25 basis points to 2.5 percent from 2.25 percent, will impact in the upcoming months.
The US administration was also ready to withdraw the sanctions of Rusal, The Russian Aluminium Company. After the move of Russian Billionaire Oleg Deripaska’s reduce of his stake in Rusal, the Donald Trump government had taken the decision of Withdraw sanctions on Aluminium.
Globally, the trade war between the nations is a key factor will decide the economic situation. India may have on this impact. Crude and Currency Changes are in Volatile, as the Economic growth can change too.
The amount of Foreign Direct Investment in India also changing in the past few years, where the global market tells its concern. In India, the FDI data shows that it was increased to 1898 USD Million in the august this year. India had all time record high of 8579 USD Million in the month of August, 2017.
The Record low was seen in the month of November last year with the amount of (-1336) USD Million. It was impacted on the same period in the Indian Stock Market also. Last July 2018, the FDI inflow in India were seen at 1981 USD Million.
For the Current financial year, the highest of 4859 USD Million inflows were came in the month of April 2018. After then, the size of the amount has decreased (Till August 2018). By average, the Foreign Direct Investment in India were at 1322 USD Million from the year of 1995 until this year.
Can the investments in the country be localized (India itself) ?
Will Make in India win over this FDI ?
Otherwise, the Foreign Direct Investment will come back as strong again ? It will be revealed in the monsoon days…
Kindly share your views / Comments with a smile 🙂