Finance ministry, during current fiscal, expects India to receive its highest Foreign Direct Investment (FDI). As per the official data, during April-May 2011, FDI inflows have increased by 77.25% in terms of dollar around 75% in terms of rupee. India has received FDI of around $7,785 million or Rs 34,792 crore from $4392 million or Rs 19,832 crore during April-May 2010.
'This year the FDI is going to see a very big rebound and go up to a very comfortable level... and it should go up where we were (at the) record high' said Kaushik Basu, Chief Economic Advisor at the Ministry of Finance.
However, from last two fiscals, India is witnessing decline in FDI inflow. During 2010-11 FDI inflow fell by almost 25% to $19.4 billion and in 2009-10 it reduced by 5% to $25.6 billion. During financial year 2008-09 India received its highest FDI of $27.32 billion which reduced to $25.6 billion in 2009-10.
Commenting on Foreign institutional investors (FIIs), Kaushik Basu, said ‘FIIs are very difficult to forecast. They are so volatile that they keep changing.'
On Monday, the Prime Minister's Economic Advisory Council (PMEAC) in its Economic Outlook for 2011-12 said that overall capital flows this fiscal were likely to rise in 2011-12, though it projected FIIs to register a sharp fall.
MoneyWorks4Me is a SEBI-registered Investment Adviser (IA) dedicated to helping investors build long-term wealth through transparent, research-driven, conflict-free guidance. Founded in 2008, we started our journey as a Research Analyst (RA), providing deep fundamental analysis, intrinsic value insights, and long-term investing frameworks for Indian equities. In 2017, we transitioned to a full-fledged SEBI-registered Investment Adviser, strengthening our commitment to acting as a fiduciary—always putting the investor’s interest first.
To become India’s most trusted, research-powered fiduciary advisory platform—where every investor, regardless of experience, can make calm, confident, and well-reasoned investment decisions.
MoneyWorks4Me ensures this through: