After making huge foreign investments in the financial year 2010, Indian companies are now moving on a subdued pace on their plans abroad in-line with the decline in investments in domestic projects and the economic slowdown. India Inc’s overseas investments have dipped to $797 million in January as compared to $1.46 billion figure during December 2011, registering a decline of 45%. Tata Group, infrastructure major IL&FS and Pharma major Lupin have emerged as the major investors in January.
As per the data released by the Reserve Bank of India (RBI), various companies carried out a total of 418 overseas investment transactions last month. Tata Communications invested $76.78 million in its Singapore based wholly-owned subsidiary 'VSNL International PTE' which is involved in transport, storage and communication services. Tata Group firms -- Tata Chemicals, Tata Motors and Tata Power -- also invested a total of $7.33 million in their relevant subsidiaries and joint ventures in Singapore, Bhutan, the UK and Mauritius.
IL&FS Transportation Networks invested $48.16 million in its US-based wholly-owned subsidiary (WoS) INTL PTE, which is engaged in manufacturing business. Another group company, IL&FS Technologies, invested $24.17 million in its Philippines-based WoS IL&FS Technologies Singapore which is into financial, insurance, real estate and business services.
The third largest investor, Lupin, invested $39.38 million in its Netherlands-based WoS Lupin Holsings BV. As per the data, in the first ten months of the current financial year (April- January), the outward FDIs and FDI commitments reached almost $26.1 billion. The FDI inflows during the April-November period (latest data available) reached $22.83 billion. In the last fiscal (2010-11) the FDI inflows crossed $19.43 billion.
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