‘Make in India’ boosts FDI inflow

Since the launch of the Make in India programme in 2014, foreign investment inflow into the nation has been recorded at US$335.33 billion till the end-2019, representing nearly 51 per cent of the cumulative FDI inflow since 2000. This has been achieved with the facilitation of affordable capital to businesses, by fostering R&D and innovation, with skill development programmes to boost capabilities surrounding new technologies, and improved focus on manufacturing, logistical and other infrastructure, among other key initiatives. As a result, in 2018-19, FDI inflow stood at a record of US$62 billion, highest ever recorded for a fiscal year. Meanwhile, the rise in FDI inflow has also been aided by the Government’s liberalisation of foreign participation in India. Today, foreign enterprises are making in India for India and the world. 

Here’s a breakdown of the foreign investment inflow in the past five fiscal years: 

Make in India 2.0 presently focuses on 27 sectors. While the Department for Promotion of Industry and Internal Trade (DPIIT) is coordinating action plans for 15 manufacturing industries, the Department of Commerce is coordinating action plans for 12 service sectors. At the same time, investment promotion and facilitation activities under the Make in India initiative are being undertaken by several Central Government Ministries and Departments and various State Governments. Backed by large corporations as well as grassroots enterprises, manufacturing under Make in India has expanded to cover food and agri products to defence and aerospace industries. This diverse strength has helped India, with a GDP of US$2.9 trillion at the end of 2019, become a key stakeholder of the world economy (US$86.5 trillion). 

The top states in India attracting FDI during October-December 2019 are: