India's outward foreign direct investment (FDI) surged to $7.06 billion in March 2023, representing a 156% increase from February and the highest monthly figure since 2021. This spike is attributed to uncertainties in the domestic economy, leading investors to explore opportunities abroad, according to former Chief Statistician Pronab Sen. Since early 2024, monthly outward FDI flows have consistently ranged between $2–7 billion. For the financial year 2025-26 (FY26), total outbound FDI reached $48.6 billion, an increase from $41.6 billion in FY25. The sectoral composition of these investments has shifted significantly, with financial services now accounting for the largest share, up 12.31 percentage points since 2021, while manufacturing has declined by 14.52 percentage points. N R Bhanumurthy, Director of the Madras School of Economics, noted that this trend reflects India's evolution into a service-led economy. Additionally, Singapore has solidified its position as the top destination for Indian investments, while the United States has seen a decrease in its attractiveness. Sun Pharmaceutical Industries' planned acquisition of US-based Organon and Co. for $11.75 billion is one of the largest overseas investments by an Indian firm, although it is still pending implementation.