• Miss. M. Krishnaveni

In India, investment has always been an issue for its development. Those countries which are already developed are now focusing on new markets where there is abundant labours, scope for production, and high profit are achieved. In India, most of the FDI is directed towards infrastructure and energy resources. During the last five to six years this growth has again picked up in the nation. Apart from being a demanding driver of economic growth, Foreign Direct Investment (FDI) is a major source of non-debt financial resource for the economic development of India. Foreign companies invest in India to take advantage of relatively lower wages, special investment privileges such as tax exemptions, etc. For a country where foreign investments are being made, it also means generating employment and achieving in technical aspects. In this background, there is need to study the growth of Foreign Direct Investment in India. This paper mainly focuses on growth and composition of cumulative FDI Equity in India sector-wise. This paper also discussed challenges and future prospects of Foreign Direct investment in India. For this purpose, descriptive research method and the secondary collected from the reports of India Brand Equity Foundation (IBEF). For this study last ten years Foreign Direct Investment flows and equity flows discussed. The study concluded that the India has consistently focused on reforms for attracting investments and encourages manufacturing in India. Many countries are interested in India as their favoured destination; market potential, skilled workforce and political stability are the three biggest attractions. The Government reviews the FDI policy on an ongoing basis and makes significant changes from time to time, to ensure that India remains attractive and investor friendly destination. Government has put in place a liberal and transparent policy for FDI, wherein most of the sectors are open to FDI under the automatic route.

Foreign Direct Investment, Equity Flow, Challenges & Future prospects

"Foreign Direct Investment in India - Challenges and Future Prospects", International Journal of Emerging Technologies and Innovative Research (www.jetir.org), ISSN:2349-5162, Vol.10, Issue 3, page no.a799-a809, March-2023, Available :http://www.jetir.org/papers/JETIR2303097.pdf

"Foreign Direct Investment in India - Challenges and Future Prospects", International Journal of Emerging Technologies and Innovative Research (www.jetir.org | UGC and issn Approved), ISSN:2349-5162, Vol.10, Issue 3, page no. ppa799-a809, March-2023, Available at : http://www.jetir.org/papers/JETIR2303097.pdf