FDI rises 64% to 18-month high in October – Times of India

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New Delhi: Foreign direct investment increased by 64%. October Up to $8.4 billion – the most in 18 months – as dark Global economic environment Moderate shows some signs of improvement. Inflation And a break Increase in interest rates by the Central banks.
Latest data released by RBI It appears that on an aggregate basis, arrivals increased for three consecutive months, although between April and October 2023, FDI Flows into the country were estimated to have declined 6.7 percent to $41.5 billion, from $44.5 billion in the same period last year.
The decline comes at a time when the government is courting investors, positioning India as an attractive destination for companies from the US, Europe and Japan to diversify their manufacturing bases outside of China. are wanting The government has blamed weak global sentiment and geopolitical risks for the decline in FDI.

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The government is encouraging companies like Apple and Tesla to invest in India and is offering schemes like production-linked incentives to attract domestic and global investors to cater to domestic and export markets. The October figure comes on the back of a 20 percent increase in September and marks the first time since May 2022 that revenue topped $8 billion.
Overall, inflows through share acquisitions were bolstered by acquisitions worth $3.6 billion, while inflows through RBI were around the $2.5 billion mark. Reinvested earnings were unchanged at $1.7 billion. October also saw repatriation or disinvestment of $1.1 billion in October, down sharply from $2.9 billion a year ago.
Earlier this month, UN ESCAP said that for the second year in a row, India is the largest recipient of FDI, down 4 percent from 2022, to $68 billion through greenfield investments. “India has seen several major deals in 2023 from telecommunications, semiconductors, automotive OEM, software, biomass power and NTT, Micron Technology, Hyundai, Suzuki, Microsoft and others,” it said.
In a recent report, the OECD said that in the first half of 2023, FDI reached $727 billion globally, down from the lowest level recorded in the second half of 2022 but up from the level recorded in the first semester of 2022. 30 percent less.
The report noted that inflows were affected by weak M&A activity, while capex remained intact. “The United States, India, Mauritania, the United Kingdom and Brazil received the most significant projects,” the OECD report said.

Business news,RBI,October,Increase in interest rates,Inflation,Global economic environment,Foreign Direct Investment,Food inflation,FDI,Central banks,18-month high
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